Gold and Silver Price Forecast: $3,366 Resistance Key as

Gold hovers near crucial resistance at $3,366, with investors cautiously awaiting the U.S. Nonfarm Payrolls (NFP) report. The yellow metal continues to be supported by soft labor market data and dovish Federal Reserve signals..

Current Technical Levels

Gold price today is hovering around $3,361, just shy of the critical resistance level at $3,366.
Key support levels are identified at $3,327 and $3,297, with strong buying interest on dips.
Exponential Moving Averages (EMAs):
- 50-day EMA: $3,333
- 200-day EMA: $3,338

Technical Outlook: Bullish Momentum Intact

Gold has broken out above a descending trendline, signaling a bullish reversal.
The price remains above both the 50-day and 200-day EMAs, indicating strong upward momentum.
A sustained breakout above $3,366 could target $3,393, followed by $3,422.

Chart Analysis

Higher lows since June 28 form an ascending trendline, reinforcing buyer strength.
As long as XAU/USD stays above the trendline and EMAs, the bullish structure remains intact.

Silver Price Forecast (XAG/USD): Bulls Target $37.00 and $37.31

Silver prices surged past $36.33, confirming a breakout and setting sights on the next resistance levels at $37.00 and $37.31.

Current Market Position

Silver trades at $36.80, gaining bullish traction after a sharp breakout.
Price remains firmly above:
- 50-EMA: $36.29
- 200-EMA: $36.01

Technical Set-Up: Positive Bias

Silver has broken out of a symmetrical consolidation zone, showing higher lows since June 26.
The current uptrend is supported by strong buyer interest and bullish candle patterns.
Holding above $36.33 confirms the continuation of the bullish trend.

Upside and Downside Targets

Resistance levels to watch:
- $37.00 (psychological round level)
- $37.31 (multi-week high)
Support zones:
- $36.33 (former resistance turned support)
- $35.88 (intermediate support)

U.S. Labor Market Weakness Supports Gold and Silver

The ADP employment data released this week showed a decline of 33,000 jobs in June, marking the first contraction in over two years. This adds to the weaker JOLTS job openings report earlier, suggesting that the U.S. labor market is cooling.

“The labor market is clearly softening, and the Fed may not wait much longer to respond,” said Sarah Mendez, Senior Macro Strategist at Alta Investments.

Federal Reserve Rate Cut Bets Rise Before NFP Data

Markets are now heavily pricing in a rate cut by the U.S. Federal Reserve by September. According to the latest Fed funds futures:

25% probability of a rate cut in July
75% probability of easing by the September FOMC meeting

This dovish sentiment is supporting precious metals like Gold (XAU/USD) and Silver (XAG/USD), despite modest risk-on rotation in equities and crude oil.

What to Watch: U.S. Nonfarm Payrolls Data on Friday

The upcoming Nonfarm Payrolls (NFP) report on Friday is likely to be the next major catalyst for gold and silver prices.

Possible Scenarios:

Weaker-than-expected NFP: Could trigger a gold breakout above $3,366 and push silver toward $37.31.
Stronger-than-expected NFP: May cap further upside and cause temporary pullbacks toward $3,327 (gold) and $36.33 (silver).

Market volatility is expected to spike, and precious metal traders are advised to stay cautious.

Key Takeaways: Gold and Silver Forecast Summary

Gold Price Outlook (XAU/USD)

Resistance: $3,366, $3,393, $3,422
Support: $3,327, $3,297
Trend: Bullish above trendline and EMAs

Silver Price Outlook (XAG/USD)

Resistance: $37.00, $37.31
Support: $36.33, $35.88
Trend: Bullish with breakout confirmation

Why Precious Metals Remain in Focus

Weak labor data raises the likelihood of U.S. interest rate cuts.
Geopolitical tensions and global economic uncertainty continue to support safe-haven demand.
Technical breakout in both gold and silver charts suggests bullish continuation patterns.