Gold and Silver Price Forecast: Market Analysis
Published on June 4, 2026
Key Highlights
- The US-Iran ceasefire has been stable for over nine weeks, allowing tanker traffic to resume through the Strait of Hormuz.
- Gold prices have dropped to $4,472, breaking below key support levels.
- Silver has retreated to $73.34, facing resistance near $75.80.
- China's central bank has been purchasing gold for over 17 months, providing long-term support for gold prices.
Market Overview
On June 4, 2026, gold and silver prices showed a lack of direction as traders reacted to higher-than-expected US inflation data and the ongoing stability of the US-Iran ceasefire. The Consumer Price Index (CPI) indicated that inflation was stronger than anticipated, which has delayed expectations for a rate cut by the Federal Reserve.
Higher real yields and a stronger US dollar have limited the upside potential for precious metals. Despite this, gold buyers are looking towards official sector purchases to support prices as geopolitical tensions ease. The People's Bank of China continues to accumulate gold, which is a positive sign for long-term price stability.
Technical Analysis
Gold (XAUUSD)
Gold is currently trading around $4,472, having broken below the blue descending channel and the 50-period moving average (MA). The price action indicates strong bearish momentum, with lower lows being established. The next support levels are identified at $4,460 to $4,436.
Technical indicators show that the Relative Strength Index (RSI) is under 45, confirming weakening momentum. The price structure suggests that sellers are in control, with resistance at $4,595.
Trade Idea: Sell at $4,472 targeting $4,436 with a stop loss at $4,500.
Silver (XAGUSD)
Silver is trading at $73.34, having faced resistance at the 50 MA and a descending trendline. The price has formed lower tops, indicating a bearish trend. The next support levels are between $74.10 and $73.20.
The RSI is just below 46, suggesting further downside potential. The volume profile indicates strong selling pressure at $75.50, reinforcing the bearish outlook.
Trade Idea: Sell at $73.34 targeting $73.20 with a stop loss at $74.50.