Gold futures ended lower on Tuesday, as the dollar strengthened against a basket of major currencies with hawkish remarks from a voting member of the Federal Reserve raised expectations for a March interest rate hike. In economic news, economic growth in the US in the fourth quarter of 2016 was unrevised in the latest report released by the Commerce Department. GDP increased by 1.9 percent in the fourth quarter, unrevised from the previous estimate. Economists had expected the pace of growth to be upwardly revised to 2.1 percent. Consumer confidence in the US unexpectedly improved in the month of February, according to a report released by the Conference Board on Tuesday. Its consumer confidence index climbed to 114.8 in February after falling to a revised 111.6 in January.
Crude oil futures remained in consolidation mood on Tuesday and ended almost flat with a negative bias on rising US oil output, although OPEC production cuts continued to offer support. There were reports that Saudi Arabia is pumping oil at pace that will preserve the global supply glut that has kept oil below $55 a barrel, while at the same time, US producers are also ramping up, with domestic inventories at a record high for this time of year. Crude futures though recovered from session lows, after a survey found OPEC cut its oil output for a second month in February, following a record high compliance level by its members in January.
Copper futures ended higher on Tuesday as ongoing strike at the Escondida mine in Chile and the suspension of operations at the Grasberg mine in Indonesia added to supply worries.
Technical Level
Gold
Support at 29350 and Resistance at 29500
Break and sustain below 29350 will take to 29200---29050 and then to 28800 mark in days to come else could touch its resistance level of 29500 again.
Looks positive only close below 29500 mark.
Trade with levels only.
Silver
Support at 43700 and Resistance at 44150
Break and sustain below 43700 will take to 43550---43300 and then to 42900 mark in days to come else could touch its resistance level of 44150 again.
Looks positive only close below 44150 mark
Crude Oil
Support at 3600---3570 and Resistance at 3700
Trading in range either side breakout with volumes will decide further till then traders and trade with strict stop loss.
Copper
Support at 386 and resistance at 415
Trading in a range from last few trading session and either side break or close with volume will decide further.
Trade with levels only and wait for confirmation
Major Economic Data
06:00 P.M ISM Manufacturing PMI: Previous 53.2 Forecast 53.7 Actual –??
Impact – Increase in ISM Manufacturing PMI – will have negative impact on bullion and positive impact on base metals and dollar index or vice – versa.
09:30 P.M Crude Oil Inventories: Previous 0.6 M, Forecast 1.5 M, Actual –??
Impact – Increase Crude Oil Inventories – will have negative impact on crude oil prices vice versa
More will update soon!!
