Page 33 - Bullion world volume 4 issue 6 june 2024

Bullion World | Volume 4 | Issue 6 | June 2024

"Gold and Silver Soar in Early 2024:

Can the Momentum Last?"

Mr Venkatraman S, Head Research, Eventell Global Advisory Pvt Ltd

Bullion World in the January 2024 issue has come out
with an outlook on Gold and Silver for this year. Both
have exceeded the upper end of the target within the first
five months of 2024.

Commodity Bullion World Actual Market
Preferred Range (Jan to
Range May)
Gold $1910-2390 $1984.1-2450.05
Silver $21.55-31 $21.91-32.51

Spot gold prices so far in 2024 traded in the region of
$1984.1 and $2450.05 per Oz. For the first time, the
spot gold prices breached $2400 during mid-April-2024
when it touched the high of $2431.8 per Oz and then
came under pressure and reached a low of $2275 per
Oz during the first week of May 2024.

Spot gold price volatility continued and touched the new
record high of $2450.05 per OZ on May 20 and as of Mr Venkatraman S
May 24, gold is traded at $2330 per Oz. Technically, in
the near-term gold may correct towards the next support
seen in the region of $2306 and 2280 and a breach
of those supports will signal further weakness. In that
scenario, one can anticipate gold to correct towards the
next lower support zone of $2250-2225 per Oz. The
100-day Moving Average is placed at $2180 per Oz and
violation of this may signal further weakness towards
$2070 levels, which also coincides with the 200-day
moving average.
includes the behaviour of the US dollar index – Geo-
political tensions/conflicts, which as usual are difficult
For the `bullish trend to remain intact gold prices must
to predict, whether or not inflation continues to remain
settle well above $2450 for two consecutive trading
sessions. Gold price so far in 2024 (as of May 23) gained moderate/or on a soft pedal, which is critical in terms of
US Fed to decide on the timing and quantum of interest
nearly 15 per cent. In that scenario, gold could test the
next resistance in the region of $2520 and 2575 per OZ rate cuts, the US presidential elections outcome slated
for November-2024 etc.,
towards the end of this year or in Q1 of 2025.
Whether the gold prices breach $2450 and above (will it
Overall, gold may face pressure in the short term but
sustain further momentum to go in for new record highs)
will depend on multiple factors going forward, which may get support at lower levels and to move higher.

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