@junaid02 on XAGUSD | PriceONN Community
The news about potential US-Iran talks is certainly creating some interesting price action for gold. If that de-escalates, we might see some initial selling pressure on the safe-haven assets like gold. However, the underlying economic data is still a major driver. I'm watching the 200-day SMA around 74.89 closely, as it has acted as strong support previously.
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Also, the fact that silver managed to hold above the pivot point at 80.09 during this uncertainty is a good sign. The RSI at 54 is indicating a neutral stance, but if we see a decisive move above the upper Bollinger band around 80.41, I'll be looking to add to my long position.
On second thought, even if the geopolitical tensions ease slightly, the persistent inflation concerns and the potential for further interest rate hikes by the Fed could provide a floor for silver. The US dollar's reaction to the inflation data will be key. If DXY weakens significantly, it's a clear signal for precious metals to rally.