Gold futures ended higher on Wednesday, as investors piled into the yellow-metal amid doubts over President Trump's economic policies while weaker than expected economic data supported upside momentum. As per the report of the National Association of Realtors (NAR) existing home sales in the US saw a sharp pullback in the month of February. NAR reported that the existing home sales tumbled by 3.7 percent to an annual rate of 5.48 million in February after jumping by 3.3 percent to a rate of 5.69 million in January. Economists had expected sales to drop to 5.58 million. Yellow metal prices further improved as the dollar slipped against a basket of major currencies and drop in US Treasury yields.
Crude oil futures despite recovering from the steep losses ended modestly down on Wednesday, as the Energy Information Administration (EIA) reported crude oil futures jumped another 4.5 million barrels, however gasoline stockpiles continued to fall last week indicating stockpiles imminent demand. Gasoline inventories dropped 2.8 million barrels.
Copper futures ended higher on Wednesday, after plunging to multi-day lows in reaction to the news that Freeport McMoRan’s Indonesian unit resumed production of copper concentrate at its giant Grasberg mine. The announcement that striking workers at Escondida and BHP Billiton would resume talks also pressured the metal.
Technical Level
Gold
Support at 28730 and resistance at 28930
Break and sustain below 28730 will take it to 28550---28220 mark else could touch its resistance level of 28930 again
Fresh buying can be initiated above 28930 mark
Silver
Support at 41000 and resistance at 41500
Break and sustain below 41000 will take it to 40400---40000 and then to 39800 mark else could touch its resistance level of 41500 mark.
Further upside rally only close above 41500
Crude Oil
Support at 3100 and Resistance 3220---3250
Break and sustain below 3169 will take to 3130—3100 and then to 3050 mark else could touch its resistance level of 3220---3250 again.
Further upside rally will see only close above 3250 mark
Trade with levels only
Copper
Support at 378 and Resistance at 386
Either side break or close with volume will decide further. Till then traders can trade in a range with strict stop loss and wait for confirmation
Economic Data
06:00 P.M Unemployment Claim: Previous 241K Forecast 240K, Actual –??
Impact – Increase in Unemployment Claims – will have positive impact on bullion and negative impact on base metals and dollar index or vice – versa.
06:15 P.M Fed Chair Yellen Speaks
08:00 P.M Natural Gas Storage: Previous -53B, Forecast -147B, Actual –??
Impact – Increase Natural Gas Storage – will have negative impact on natural gas prices or vice versa. Castor touch Upper Circuit on NCDEX market.
More will update soon!!
