• Silver price rises sharply to near $34.00 as its appeal increases amid global economic uncertainty.
• The Fed is expected to leave interest rates steady on Wednesday.
• US President Trump is scheduled to speak with Russian leader Putin on a temporary ceasefire with Ukraine.

Silver price (XAG/USD) posts a fresh four-month high near $34.10 in European trading hours on Tuesday. The white metal strengthens as the US Dollar (USD) declines amid deepening uncertainty over the United States (US) economic outlook under the leadership of President Donald Trump.

The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, slides to near the five-month low of 103.20.

US officials, including Donald Trump, have not ruled out an economic recession amid the implementation of new economic policies, especially tariffs. Market participants expect Trump’s tariff agenda could accelerate inflationary pressures and slow down economic growth globally. Historically, demand for non-yielding assets, such as Silver, increases amid heightened global economic woes and inflation.

Meanwhile, investors await US-Russia talks on a 30-day ceasefire plan on Tuesday. Last week, Ukraine agreed to a 30-day ceasefire plan after discussions with US officials in Saudi Arabia. On Monday, the European Union (EU) Foreign policy chief Kaja Kallas said the conditions demanded by Russia to agree to a ceasefire showed Moscow does not really want peace, Reuters report.

Signs of de-escalation in the Russia-Ukraine war would diminish the appeal of safe-haven assets. On the contrary, an absence of a positive outcome is unlikely to increase the strength of safe-haven bets as they already hold the risk premium of the three-year war in Ukraine.

Going forward, investors will pay close attention to the Federal Reserve’s (Fed) interest rate decision on Wednesday. The Fed is almost certain to keep interest rates steady in the range of 4.25%-4.50%. Investors will pay close attention to the Fed’s dot plot to know where officials see Federal Fund Rates heading in the near and long term.

Silver technical analysis

Silver price advances toward the flat border of the Ascending Triangle chart pattern formation on the daily timeframe near the October 22 high of $34.87. The upward-sloping border of the above-mentioned chart pattern is placed from the August 8 low of $26.45. Technically, the Ascending Triangle pattern indicates indecisiveness among market participants.

Advancing 20-day Exponential Moving Average (EMA) near $32.77 indicates a strong uptrend.

The 14-day Relative Strength Index (RSI) holds above 60.00, suggesting a strong bullish momentum.

Looking down, the March 6 high of $32.77 will act as key support for the Silver price. While, the October 22 high of $34.87 will be the major barrier.

Silver daily chart

The pair’s price exploited the positive pressure resulting from the formation of the 55-period moving average as a new support, centered around 0.8185, in addition to the positive momentum exhibited by the Stochastic indicator. This allowed the price to surge recently above the stable resistance at 0.8255, marking its transition into an uptrend and recording tangible gains by reaching approximately 0.8330.

We expect the formation of a primary support level at 0.8260 in the current trading session. With the continued presence of key bullish momentum indicators, the price is anticipated to resume its upward drive, targeting 0.8372 soon. If this barrier is breached, 0.8415 will become the next primary target for the bullish move.

The expected trading range for today is between 0.8295 and 0.8372.

Today’s Price Forecast: Bullish

Crude prices are climbing from rising tensions in the Middle East, which could lead to disruption of supplies from the region.  Israel launched a series of airstrikes across Gaza today, ending a nearly two-month ceasefire with Hamas and Israeli Prime Minister Netanyahu vowed to act “with increasing military strength” to free hostages and disarm Hamas.  The US is also launching strikes on Yemen’s Houthi rebels, and Defense Secretary Hegseth said strikes would be “unrelenting” until the group stops attacking vessels in the Red Sea.

Today’s global economic news was supportive for energy demand and crude prices.  US Feb housing starts rose +11.2% m/m to 1.501 million, stronger than expectations of 1.385 million.  Also, US Feb manufacturing production rose +0.9% m/m, stronger than expectations of +0.3% m/m and the biggest increase in a year.  In addition, the German Mar ZEW survey expectations of economic growth rose +25.6 to a 3-year high of 51.6, stronger than expectations of 48.3.

A bearish factor for crude was Sunday’s action by Goldman Sachs to cut its year-end WTI crude price forecast to $67 a barrel from $72 and lower its 2025 global oil demand forecast by 18% to 900,000 bpd, citing a slowing global economy from tariffs and the OPEC+ plan to increase production.

Also weighing on crude prices is concern that US tariffs and retaliatory tariffs will curb global growth and undercut energy demand.  

Ramped-up Russian oil exports are negative for crude prices after data compiled by Bloomberg from analytics firm Vortexa showed Russian Feb oil products exports reached a 1-year high of 2.5 million bpd.

Crude prices were undercut when OPEC+ said on March 3 that it would restart some halted crude output in April, adding 138,000 bpd to global supplies.  That is the first of a series of monthly hikes to reverse the 2-year-long production cut, which will gradually restore a total of 2.2 million bpd.  OPEC+ had previously planned to restore production between January and late 2025, but now that production cut won’t be fully restored until September 2026.  OPEC Feb crude production rose +320,000 bpd to a 14-month high of 27.35 million bpd.

In a supportive factor for crude oil prices, the US on January 10 imposed new sanctions on Russia’s oil industry that could curb global oil supplies.  The measures targeted Gazprom Neft and Surgutneftgas, which exported about 970,000 bpd of Russian crude in the first 10 months of 2024, accounting for about 30% of its tanker flow, according to Bloomberg data.  The US also targeted insurers and traders linked to hundreds of tanker cargoes.  Weekly vessel-tracking data from Bloomberg showed Russian crude exports fell by -30,000 bpd to 3.45 million bpd in the week to March 16.  

Crude oil demand in China has weakened and is a bearish factor for oil prices.  According to Chinese customs data, China’s 2024 crude imports fell -1.9% y/y to 553 MMT.  China is the world’s biggest crude importer.

A decline in crude oil held worldwide on tankers is bullish for oil prices.  Vortexa reported Monday that crude oil stored on tankers that have been stationary for at least seven days fell by -20% w/w to 60.89 million bbl in the week ended March 14.

Last Wednesday’s EIA report showed that (1) US crude oil inventories as of March 7 were -5.1% below the seasonal 5-year average, (2) gasoline inventories were +1.3% above the seasonal 5-year average, and (3) distillate inventories were -4.8% below the 5-year seasonal average.  US crude oil production in the week ending March 7 rose +0.5% w/w to 13.575 million bpd, modestly below the record high of 13.631 million bpd from the week of December 6.

Baker Hughes reported last Friday that active US oil rigs in the week ending March 14 rose +1 rig to 487 rigs, mildly above the 3-year low of 472 rigs posted on January 24.  The number of US oil rigs has fallen over the past two years from the 4-1/2 year high of 627 rigs posted in December 2022. 

Yesterday, the index experienced strong positive pressure, aligning with its consistent trading above the key support level at 19145.00, which led to the formation of some upward waves as it faces a key barrier at 20000.00, representing the 61.8% extended Fibonacci level.

However, the repeated stability below this barrier confirms the price’s adherence to the bearish scenario, suggesting that new negative waves may form soon to push the price towards 19560.00. If that level is broken, trading may extend again toward the previously mentioned key support. Conversely, if the barrier is broken and the price stabilizes above it, the likelihood of a transition to a bullish scenario increases, with the price potentially targeting new positive levels, making 20180.00 the first positive target for the uptrend.

The expected trading range for today is between 19560.00 and 19950.00.

Today’s Price Forecast: Bearish due to barrier stability

The copper price has reinforced its bullish momentum by repeatedly fluctuating near the $4.9300 level, maintaining a positive stance within the boundaries of its ascending channel. Meanwhile, $4.8100 continues to serve as additional support in recent trading.

Currently, as the Stochastic indicator moves closer to the overbought zone, it could boost the price’s potential to gain the extra positive momentum needed to reach the channel’s resistance, which extends toward $5.000. This level represents a strong psychological barrier, so we recommend closely monitoring the price action once this target is approached.

Expected Trading Range for Today:

Between $4.8500 and $5.0000

Today’s Price Forecast: Bullish

The copper price has reinforced its bullish momentum by repeatedly fluctuating near the $4.9300 level, maintaining a positive stance within the boundaries of its ascending channel. Meanwhile, $4.8100 continues to serve as additional support in recent trading.

Currently, as the Stochastic indicator moves closer to the overbought zone, it could boost the price’s potential to gain the extra positive momentum needed to reach the channel’s resistance, which extends toward $5.000. This level represents a strong psychological barrier, so we recommend closely monitoring the price action once this target is approached.

Expected Trading Range for Today:

Between $4.8500 and $5.0000

Today’s Price Forecast: Bullish

• Silver price gains momentum to around $33.90 in Tuesday’s Asian session, adding 0.16% on the day. 
• Heightened economic uncertainty, geopolitical risks and rising demand underpin the Silver price. 
• The Fed interest rate decision will be the highlight on Wednesday.

Silver price (XAG/USD) extends its upside to around $33.90, its highest level since October 30, 2024, during the Asian trading hours on Tuesday, bolstered by the weaker US Dollar (USD). The escalating geopolitical tensions in the Middle East, economic uncertainty and growing industrial demand provide some support to the white metal. 

The mounting fears of a recession in the United States (US) and persistent uncertainty over trade relations weigh on investor sentiment, boosting safe-haven assets like Silver. Late Monday, US President Donald Trump said that he would be imposing both broad reciprocal tariffs and additional sector-specific tariffs on April 2. Trump has already imposed a 20% tariff rate in China and a 25% levy on steel and aluminum. He also announced a 25% tariff on Canadian and Mexican goods. 

Additionally, the rising geopolitical risks in the Middle East contribute to the Silver price’s upside. Israeli Prime Minister Benjamin Netanyahu said on Tuesday that Israel resumes military operations against Hamas across the Gaza Strip, adding that the country will act against the militant group with increasing military force.

Supply deficits and growing industrial demand create a strong tailwind for the white metal. According to the global investment company WisdomTree, investors own a significant portion of it and expect higher prices to encourage sales. Silver’s industrial demand has reached all-time highs, owing to its use in photovoltaic applications, 5G technology, and automotive electronics.  

The Federal Reserve (Fed) interest rate decision will be closely monitored on Wednesday. The US central bank is expected to hold its benchmark interest rate unchanged in a range of 4.25% to 4.50% at the March meeting. The primary focus will be on the Fed’s policy guidance. Any hawkish remarks from Fed officials could lift the Greenback and undermine the USD-denominated commodity price in the near term. 

The price of crude oil has risen in recent intraday trading, confirming the break of a short-term downward sub-trendline.

This move is supported by its continuous trading above its 50-day simple moving average.

Additionally, it is trading along an upward corrective trendline, with the onset of a positive RSI crossover after the indicator reached significantly exaggerated oversold levels relative to the price movement.

Our forecast indicates further corrective upward movement for oil in the upcoming sessions, especially if it manages to break the resistance at $67.95.

Such a breakthrough would confirm the bullish double bottom pattern, with the price then targeting the resistance level at $70.00 as the next price target.

• Gold price sits at all-time highs above $3,000 as Middle East tensions escalate.
• US Dollar finds haven demand as geopolitics outweigh economic uncertainties.
• Gold price eyes more upside as the daily technical setup stays bullish.

Gold price is holding firm in Asian trades on Tuesday, building on its record-setting uptrend. Escalating Middle East geopolitical tensions are the primary driver behind the latest leg up in Gold price.

Gold price capitalizes on geopolitical jitters ahead of Fed      

Reuters reported early Tuesday that a ceasefire between Israel and Hamas collapsed after Israeli military hit targets across Gaza, with Palestinian health ministry officials reporting at least 100 dead.

Israeli Prime Minister Benjamin Netanyahu’s office accused Hamas of “repeated refusal to release our hostages” and rejecting proposals from US President Donald Trump’s Mideast envoy Steve Witkoff.

In response, Hamas turned down the proposal of releasing 59 hostages still held in Gaza.

Further, some unconfirmed reports that an Iranian ship gathering intelligence was sunk by US forces as Gaza attacks took place added to the Middle East tensions. Over the weekend, US launched airstrikes on large-scale strikes on Yemen, targeting the Iran-backed militant group – Houthis. In response, Houthis attacked US vessels in the Red Sea.

Investors scurried to the traditional safe-haven Gold price on intensifying geopolitical risks as economic uncertainties linger on the Trump-induced global trade war.

White House reaffirmed on Tuesday that the reciprocal tariffs will go into effect on April 2. Meanwhile, US Retail Sales data for February rose less than expected, coming in at 0.2% on a monthly basis. The market forecast was for a 0.7% growth.

The data added to the US economic slowdown worries, helping Gold price stay afloat on Monday while the US Dollar (USD) continued to remain at the losing.

However, in Tuesday’s trading, the US Dollar finds fresh buyers on a flight to safety alongside Gold price. It remains to be seen if the Greenback can extend the rebound ahead of Wednesday’s US Federal Reserve (Fed) policy announcements.

That said, markets could resort to repositioning, cashing in on their Gold longs following the ongoing record-setting rally. For now, geopolitics will remain in the spotlight, driving the Gold price action in the sessions ahead.

Gold price technical analysis: Daily chart

Gold price looks to extend the upside break of an ascending triangle formation as confirmed last Thursday.

Having found acceptance above the $3,000 psychological barrier on Monday, Gold buyers now keep their sight on the $3,050 mark.

The 14-day Relative Strength Index (RSI) is grinding higher, prodding the overbought region near 69.50 at the press time. The leading indicator suggests that there is more room for the upside.   

If a correction sets in, Gold price could challenge the initial demand area near the $2,980 level.

The next downside caps are at the previous triangle resistance-turned-support at $2,956 and the 21-day Simple Moving Average (SMA) at $2,929.

• Silver holds at $33.85, struggling to breach the $34.00 resistance as momentum stalls for the third straight session.
• RSI flattens near overbought levels, suggesting bulls may be regrouping before a push toward last year’s $34.86 peak.
• Failure to clear $34.00 could trigger a pullback, with support at $33.39, followed by a key floor at $33.00.

Silver prices consolidated near the $33.80 mark for the third consecutive trading day, with buyers struggling to clear the $34.00 a troy ounce mark. At the time of writing, as the Asian session commences, the XAG/USD trades at $33.85, which is virtually unchanged.

XAG/USD Price Forecast: Technical outlook

Silver’s price rally halted once the grey metal peaked yearly at $34.08. Since then, buyers have lacked the strength to drive the precious metal to challenge last year’s peak of $34.86, which, if taken out, would pave the way for testing the $35.00 mark.

Worth noting that the Relative Strength Index (RSI) turned flat near overbought territory. This hints that buyers could be taking a breather before launching an assault to challenge higher prices.

Conversely, XAG/USD failed to conquer $34.00, paving the way for a pullback. The first support would be the February 14 high of $33.39. A breach of the latter will expose the $33.00 figure, followed by the 50-day Simple Moving Average (SMA) at $30.57.

XAG/USD Price Chart – Daily