Gold's Outlook After Breaking the 200-Day Moving Average

Gold and silver came under selling pressure after breaking below the 200-day moving average. Short-term momentum has turned negative, and further weakness is likely as traders reduce exposure. Buying the dip remains premature.

Expectations of a more hawkish Fed have lifted bond yields and the dollar, raising the cost of holding gold. Nevertheless, underlying supports endure, with analysts still projecting prices above $5,000 within a year.

At the Sohn Montreal conference, speakers highlighted a fractured global economy shifting toward supply-chain security over efficiency. This environment breeds uncertainty and inflation, reinforcing gold’s role as a hedge.