Nickel market under fresh selling; Support seen at 913.5
MCX Zinc likely to trade between 169.1-176.7 levels
MCX Copper likely to trade between 411.9-428.3 levels
MCX Natural Gas may trade in a range between 184.8-192.6
Crude Oil market under short covering; Support seen at 4608
Technically Gold market is under fresh selling as market has witnessed gain in open interest by 5.74% to settled at 7204 while prices down -351 rupees.
Now Gold is getting support at 29591 and below same could see a test of 29453 levels and resistance is now likely to be seen at 29977, a move above could see prices testing 30225.
Gold on MCX settled down 1.17% at 29729 as the U.S. dollar strengthened during testimony by U.S. Federal Reserve Chairman Jerome Powell to the U.S. Congress.
Powell offered an upbeat view of the U.S. economy in an appearance before the Senate Banking Committee, with markets expecting two more interest rate increases this year amid a continued economic expansion.
The Fed’s Powell said on Tuesday he sees the United States on course for years more of steady growth, but was challenged in a congressional hearing by senators worried the Trump administration’s trade policies were already damaging businesses in their districts.
With the U.S. economy firing on all cylinders, the Fed should ease away from monetary policy accommodation and move interest rates up far enough to prevent unwanted inflation but not so fast that a recession ensues, another U.S. central banker said.
U.S. industrial production increased in June, boosted by a sharp rebound in manufacturing and further gains in mining output, the latest sign of robust economic growth in the second quarter. The International Monetary Fund warned that escalating trade tensions following U.S. tariff actions threaten to depress medium-term growth prospects.
The comments came as China reported slower second quarter growth, though Beijing said that would not affect its 2018 growth target. Demand for gold in top-consumer China has been weak as an ongoing trade dispute with United States has weakened the local currency.
Trading Ideas:
–Gold trading range for the day is 29453-30225.
–Gold declined as the U.S. dollar strengthened during testimony by U.S. Federal Reserve Chairman Jerome Powell to the U.S. Congress.
–The Fed’s Powell said he sees the United States on course for years more of steady growth.
–Escalating and sustained trade conflicts following U.S. tariff actions threaten to derail economic recovery and depress medium-term growth prospects.
Courtesy: Kedia Commodities
Source: Commodityonline.com
