Gold futures traded with negative note during the session, retreating from its sixth weekly price rise in seven weeks as dollar strengthened against a bucket of currencies ahead of Federal Reserve Chair Janet Yellen's last policy meeting. Meanwhile, the yellow metal is under pressure due to rising US Treasury yields. Higher yields on bonds make gold a less attractive investment. The Federal Reserve is not expected to take action on interest rates at the conclusion of its two-day policy meeting due on Wednesday, keeping it in a range between 1.25%-1.50%.
Crude oil futures traded lower on MCX due to profit-booking by speculators and a weak trend in global markets, where it extended losses for a second session, as a strengthening dollar sapped demand for crude, while rising US output helped dampen prices. U.S. production is already on par with Saudi Arabia, the biggest producer in the Organization of the Petroleum Exporting Countries (OPEC). Only Russia produces more, averaging 10.98 million barrels per day (bpd) in 2017.U.S. output has jumped more than 17 % since mid-2016 and is expected to exceed 10 million bpd soon.
Drillers in the U.S. added 12 oil rigs for new production in the week to Jan. 26, Baker Hughes reported last week.
Technical Level
Gold
Support at 29900 and Resistance at 30150
If prices unable to break and close below 29950 then pull back rally likely to take place till 30150. Break and sustain above 30150 will take it to 30300—30550++ mark.
Fresh selling can be initiated below 29950.
Trade with levels only.
Silver
Support at 38850 and Resistance at 39350
Break and sustain above 39350 will take it to 39600—39850 mark in days to come else could touch its support level of 38850.
Fresh selling can be initiated below 38850.
Crude
Support at 4120 and resistance at 4180
Panic likely to continue. Break and sustain below 4120 will take it to 4050—4000 mark in days to come else could touch its resistance level 4180
Fresh buying can be initiated above 4180
Trade with levels.
Natural Gas
Our buy call from 200—207 has proven great.
Now what to expect?
Rally likely to continue. Hurdle at 208, Break and sustain above 208 will take it to 213—218++ mark else could touch its support level of 195.00
Fresh selling can be initiated below 195 only.
Trade with level only.
Copper
Below 450 panic remain continue till 445—441.5 and then 436 mark in days to come else could touch its resistance level of 456 mark.
Fresh buying can be initiated above 456.
Trade with levels only.
Today's Economic Update
US ( 08:30 PM) CB Consumer Confidence Previous (122.1) Forecast (123.2) Actual (??)
More will update soon!!
