Technical Scoop: Hike Fallout, Precious Gains, Oily Resistance

Excerpt from this week's: Technical Scoop: Hike Fallout, Precious Gains, Oily Resistance

Gold and silver

Source: www.stockcharts.com

That the Fed raised rates this past week and the 10-year soared to 5.00%, yet gold held up and did not break below $4,200 could be perceived as bullish. Oil prices eased so that helped, but normally rising interest rates are bad for gold. Gold was up 0.8% this past week while silver did even better, up 3.2%. That didn’t save the gold stocks as the Gold Bugs Index (HUI) was down 1.0% and the TSX Gold Index (TGD) was off 0.6%. Both were trying to recover by the week’s end. Not helping gold was a stronger US$ Index; however, even that eased by week’s end as Friday brought a reversal day for the US$ Index and gains for the currencies – Cdn$, euro, Swiss franc, and pound sterling.

The US$ Index gained 1.1% this past week but that was after it reversed on Friday, leaving a bearish shooting star pattern (Japanese candle stick pattern) on the chart. Downside follow-through this coming week is essential if the bearish sign is to be realized. The currencies were bullish on Friday, although the Japanese yen

ended the week as the weakest. That wasn’t supposed to be the case after the BOJ hiked interest rates this past week.

Elsewhere, platinum was up 0.4%, palladium gained a small 0.2%, while copper rebounded, up 2.6%. We expect copper to make new all-time highs again soon. The chart remains strongly bullish.

Source: www.stockcharts.com

Both gold and silver continue to form what looks like bottom patterns. They need to break out to confirm. Gold breaks out above $4,600 while silver breaks out above $67, although we’d like to see it get through $73. Gold potentially makes new highs above $5,200 while silver needs to break above $106. Important holds have gold at $4,200 and especially staying above $4,100. For silver, remaining above $62 is positive but if we break under $60 then all bets are off.

The TGD continues to form what looks like a fan pattern. We need to break above 1,030 to suggest higher. Above 1,060 suggests new highs. What’s key is to hold above 900. Under 870 spells trouble.

The precious metals are in a mixed period right now. We could rally or we could just stagnate. Lows are often seen in December; however, November would be just as good. The positive period doesn’t normally get underway until December. Recall that we made our high for the year in January 2026, although we’ve seen these highs hold on to February or even early March.

Gold was resilient in the face of Fed hikes and rising interest rates. The debt is not going to go down, the budget deficits are getting bigger, geopolitics remain in conflict, and a contentious U.S. election is coming up. Gold’s downside is limited, but its upside remains positive.

Source: www.stockcharts.com
Read the FULL report here: Technical Scoop: Hike Fallout, Precious Gains, Oily Resistance

Copyright David Chapman 2026

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