Gold and Silver Latest – Stronger US Dollar Weighs on XAU/USD and XAG/USD

Gold (XAU/USD), Silver (XAG/USD) Analysis, Prices, and Charts

  • US dollar better bid after the Labor Day break.
  • Silver sells off for 5 days in a row.

The US dollar is looking to break a prior level of resistance made in late May, continuing the post-NFP rally from last Friday. The USD index is being helped by a weaker Euro, Sterling, and Japanese Yen and if resistance is broken the greenback will likely look to test a prior zone of resistance between 105.36 and 105.48.

US Dollar Index Daily Chart

There is little in the way of any market moving economic data on the calendar with the only events of note a handful of ECB speakers throughout the day, including President Christine Lagarde.

DailyFX Economic Calendar

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Gold is struggling against a strengthening US dollar and is testing a prior level of support just under $1,933/oz. Below here the 200-day sma and 20-day sma sit at $1.917/oz. and $1,915/oz. respectively and these should provide short-term support if the precious metal continues to fade lower. Initial resistance is just below $1,940/oz. followed by last Friday’s high at $1,953/oz.

Gold Daily Price Chart – September 5, 2023


Chart via TradingView

Gold Client Sentiment

of clients are net long.

of clients are net short.

Change in Longs Shorts OI
Daily 8% 1% 5%
Weekly -12% 28% -2%

Silver’s recent move higher has been halted over the last week with five ominous red candles made in a row. These last five candles have either closed at, or very close to, their daily lows and the current spot price is now looking to break below all three moving averages. The price reversed after testing the downtrend line off the early May high at $26.13 and unless silver can find some consolidation soon it may look to test the August 15th low at $22.23. Any move higher will struggle around $24.54 and the downtrend at $24.65.

Silver Daily Price Chart – September 5, 2023


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What is your view on Gold and Silver – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author via Twitter @nickcawley1.

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