The Global Precious Metals MMI (Monthly Metals Index) experienced a slight slowdown in its upward price action from April to May, with only a modest 2.38% increase overall. Gold prices remained at historically high levels, while silver and palladium prices showed more sideways trends during this period.
Gold prices, which had rallied to new highs in the first quarter of 2024, entered a sideways range after a swing low near $2277/oz. To maintain their uptrend, gold prices would need to break above the current swing high of just under $2400. However, continued sideways trading could introduce uncertainty and potential downside risk for investors.
Similarly, silver markets retraced after reaching a new high in Q1, with prices stabilizing near $26/oz. This uncertainty in price action could lead to further downside risk until traction is found. Platinum prices, on the other hand, surged above their long-term resistance zone, signaling bullish momentum. However, caution is advised as traders monitor for any potential retracement or rejection.
In contrast, palladium prices remained in a sideways market, failing to show any strong upward movement. Without clear direction or significant manipulation, the market for palladium remains uncertain and lacking bias. Traders and investors are advised to closely monitor price action for any signs of a potential breakout in the coming months.
Overall, the precious metals market is currently characterized by a mix of bullish momentum, sideways trading, and uncertainty. As prices continue to fluctuate, market participants will need to remain vigilant and adaptable to navigate the evolving landscape.
