MCX Gold under fresh buying; Support seen at 38145

0
72

NCDEX Chana under fresh selling; Support seen at 4259

MCX Mentha under fresh selling; Support seen at 1257.5

MCX Aluminium may trade between 138.7-141.7 levels

MCX Nickel under short covering; Support seen at 1060.3

Article continues below Advertisement...

MCX Cotton under short covering; Resistance seen at 20180

Technically market is under fresh buying as market has witnessed gain in by 1.1% to settled at 19967 while prices up 249 rupees.

Now MCX Gold is getting support at 38145 and below same could see a test of 38050 levels, and resistance is now likely to be seen at 38342, a move above could see prices testing 38444.

Gold on MCX settled up 0.66% at 38241 on heightened trade tensions between Washington and . Investment demand and a dovish policy stance by central banks around the globe are providing additional support to .

Federal funds implied traders saw a 69% chance of at least 25 basis-point rate cut by the U.S. central bank this September. The ’s cut its benchmark interest rate for the first time since 2008 the previous week.

Meanwhile, holdings of SPDR Gold Trust , the world’s largest gold-backed exchange-traded fund, fell 0.7% to 839.85 tonnes on Thursday, but has gained about 1.8% this week and about 7.3% in 2019. In U.S. news, a report from the said first-time claims for U.S. unemployment benefits unexpectedly showed a modest decrease in the week ended August 3rd.

The report said initial jobless claims dipped to 209,000, a decrease of 8,000 from the previous week’s revised level of 217,000. Meanwhile, the Labor Department said the less volatile four-week moving average crept up to 212,250, an increase of 250 from the previous week’s revised average of 212,000.

Activity in physical gold markets in major Asian centres was quiet week as surging prices kept consumers away, with political turmoil further squeezing demand in . Dealers offered discounts of up to $37 an ounce over official domestic prices, the highest since August 2016, versus $35 discounts last week.

Trading Ideas:
–Gold trading range for the day is 38050-38444.
–Gold prices rallied on heightened trade tensions between Washington and Beijing.
–Investment demand and a dovish policy stance by central banks around the globe are providing additional support to gold prices.
–Federal funds futures implied traders saw a 69% chance of at least 25 basis-point rate cut by the U.S. central bank this September.

Courtesy: Kedia Commodities

Source: Commodityonline.com