Gold eyes recovery after 6.7% pullback while silver and platinum target fresh highs
Gold drops 6.7% from $3,500 high as trade optimism triggers sell-off.
Precious metals have recently experienced notable price swings as investors react to a blend of technical signals and the evolving outlook on U.S.-China trade negotiations.
Gold surged early this week to an all-time high of $3,500, but profit-taking followed swiftly. The price dropped by 6.7% over two sessions to a four-day low, where it found support at $3,260. The initial decline aligned with news from Shanghai, where gold futures recorded the largest single-day drop since 2013.
Chinese investors offloaded positions on expectations that a trade agreement between the U.S. and China was nearer, after a series of softer remarks from President Trump. However, several trading firms still reported ongoing buying interest, suggesting demand hasn’t evaporated completely.
Gold, Silver, Platinum price dynamics (April 2025). Source: MT4
By Thursday, gold had rebounded modestly, opening at $3,288 and rising to $3,366 during the Asian session. In the European session, price movement narrowed around $3,330, showing limited volatility. The pullback in gold has not triggered a full bearish reversal, especially as the broader macro narrative on trade continues to shift.
Silver and platinum extend weekly gains above 20-day MAs
Silver, on the other hand, broke out of its five-day consolidation range after prices found firm support at the 20-day and 50-day moving averages. The metal surged more than 4% on Wednesday, climbing above the previous range top at $33.11 and pushing through a key resistance at $33.40 to reach $33.65. On Thursday, prices dipped below $33.40 during the Asian session but found support at $33.22. Since then, silver has been trading steadily above that level during European hours.
Platinum also followed a bullish path, gaining 2% on Wednesday after bouncing off its 20-day moving average near $960.00. That move brought it back to test a familiar resistance level near the 0.786 Fibonacci retracement at $978.70, a level that has capped upward moves all through this week. On Thursday, platinum extended its gains by another 0.8% as of the European session and is eyeing a near-term target of $1,000 while support in the short term lies around $970.
Together, the precious metals market reflects a tug between technical support and global news sentiment. While gold’s sharp correction ties back to shifting geopolitical expectations, silver and platinum are holding on to bullish momentum which suggests that investor appetite hasn’t fully weakened across the board.
Precious metals started the week on contrasting paths as the U.S. dollar recovered. Gold plummeted amid the dollar recovery, while silver and platinum diverged on short-term gains.
