Gold futures edged higher on Monday buoyed as a disappointing US jobs report appeared to dilute the prospects for an aggressive string of interest rate hikes in the United States. US job growth slowed in May and employment gains in the prior two months were not as strong as previously reported, suggesting the labor market was losing momentum despite the unemployment rate falling to a 16-year low of 4.3 percent.
Crude oil futures slumped on Friday and extended the weekly losses, as US President Donald Trump’s decision to withdraw from the 2015 Paris climate agreement, sparked concerns that U.S. oil production could expand rapidly in the absence of a stringent focus on curbing the use of fossil fuels. The Paris Agreement laid out a framework for countries to adopt clean energy and phase out fossil fuels such as oil, coal and natural gas. Crude also came under pressure as the industry figures showed US drillers added rigs for the 20th week in a row. Oilfield services firm Baker Hughes reported its weekly count of oil rigs rose by 11 to a total 733. Domestic oil companies have been adding rigs at a furious pace in 2017 in an effort to glean market share from OPEC and Russia.
Copper futures traded lower on MCX as participants reduced their exposures, tracking a weak trend at spot market on sluggish demand.
Technical Level
Gold
Close above 29150 will take it to 29450—29600 mark in days to come
Fresh selling can be initiated below 28900
Silver
Hurdle at 40500, Close above 40500 will take it to 40800---41200+++ mark in days to come else could touch its support level of 40000 again
Fresh selling can be initiated below 40000 mark.
Crude
Our sell call again proven great and made a low of 3056. Told to sell around 3090
Now what to expect???
Support at 3025 and Resistance at 3130
Below 3080 will see downside panic till 3025 and then to 2980---2930 mark
Upside rally will see above close 3130 mark.
Natural Gas
Support at 192.50 and Resistance at 196.50
Above 196.50 will take it to 199—202 and then to 205+++ else could touch its support level of 192.50 again.
Fresh selling can be initiated below 192.50 mark
Economic Data
06:00 P.M Revised Nonfarm Productivity q/q: Previous -0.6% Forecast -0.6%, Actual –??
Impact – Increase in Revised Nonfarm Productivity q/q – will have negative impact on bullion and positive impact on base metals and dollar index or vice – versa.
07:30 P.M – ISM Non-Manufacturing PMI– Previous 57.5 Forecast 57.1 Actual –??
Impact – Increase in ISM Non-Manufacturing PMI – will have negative impact bullion and positive impact on base metals and dollar index vice – versa.
07:30 P.M Factory Orders m/m: Previous -0.2%, Forecast 0.2% Actual –??
Impact – Increase in Factory Orders m/m – will have negative impact on bullion and positive impact on base metals and dollar index or vice – versa.
More will update soon!!
