Gold and silver: the price of gold is approaching $2350

• During this morning’s Asian trading session, the price of gold made a breakthrough above the $2340 level. 
• The price of silver managed to get back above the $30.00 level again.

Gold chart analysis

During this morning’s Asian trading session, the price of gold made a breakthrough above the $2340 level. This managed to push the price to a new weekly high at the $2347 level. After three days of consolidating $2320-$2340, we saw a jump above today. We have EMA50 and EMA200 support and there can be a tailwind for us to continue to the bullish side. Potential higher targets are the $2350 and $2355 levels.

We need a negative consolidation and a return to the previous range of movement for a bearish option. A drop to the $2320 level pushes gold to test this week’s support. The negative thing is that we are then below the EMA200 moving average and on the bearish side because we fell below the weekly open price. It will only worsen the picture for gold and lead it to retreat. Potential lower targets are $2315 and $2310 levels.

Silver chart analysis

The price of silver managed to get back above the $30.00 level again. A new high was formed at the $30.18 level in the previous hour. Since the beginning of the week, we have been in a stable bullish consolidation supported by the EMA50 and EMA200 moving averages. Potential higher targets are $30.30 and $30.40 levels.

We need a negative consolidation and pullback below the $29.80 level for a bearish option first. Thus, we drop below the previous high, which confirms the transition to the bearish side. With one more move, we go to $29.60, where we will test the EMA50 moving average. If this support fails to hold the silver price above, a further pullback will follow. Potential lower targets are $29.40 and $29.20 levels.