The Global Precious Metals MMI (Monthly Metals Index) experienced a slow uptick in prices from April to May, with only a 2.38% increase overall. While gold maintained its historically high levels, silver and palladium prices remained relatively stable month-over-month.
Gold prices surged to new highs in Q1 of 2024 but have since entered a sideways trading range, hovering just below $2400 per ounce. The current price action suggests that a breakout above this level is essential to sustain the upward trend. However, if prices continue to trade sideways, there may be potential downside risks in the market.
Similarly, silver prices retraced after reaching a peak in Q1, forming a swing low around $26 per ounce. The uncertainty in the market is likely to persist until prices gain traction and show a clear direction.
Platinum prices, on the other hand, have surpassed their long-term resistance zone and are showing bullish momentum with a new swing high. Investors are advised to remain cautious of any potential retracement or rejection in the market.
Contrary to the other precious metals, palladium prices have remained relatively stagnant, failing to indicate a clear direction in the market. The lack of displacement or strong manipulation suggests ongoing uncertainty and an unclear market bias.
Overall, the precious metals market in May 2024 is characterized by a mix of stability, uncertainty, and potential for both bullish and bearish movements. Traders and investors are urged to closely monitor price movements and market trends to make informed decisions.
