Gold futures ended higher on Tuesday, as a drop in equities drove safe-haven buying and the US dollar retreated. Meanwhile, the Commerce Department released a report showing that the Wholesale inventories in the US rose by slightly more than anticipated in the month of May. The Commerce Department showed that wholesale inventories climbed by 0.4 percent in May following a revised 0.4 percent drop in April. Traders are looking ahead to Congressional testimony from Federal Reserve Chair Janet Yellen Wednesday.
Crude oil futures bounced back and rallied on Tuesday, after U.S officials lowered their domestic oil production outlook for next year. The Energy Information Administration (EIA) cut the 2018 U.S. oil-output forecast by 1% to 9.9 mln bbls/day. Also, a report showed European product stockpiles fell despite an increase in refinery crude runs. European refineries increased their crude oil intake in June, but stocks of oil products, particularly diesel. US oil production has jumped more than 10 percent over the last year to 9.34 million bpd. Nigeria and Libya, OPEC members exempt from production limits, have also increased output
Copper futures traded higher on MCX as speculators enlarged positions, on pick-up in demand from consuming industries at the domestic spot market. Further, metal's strength at the London Metal Exchange (LME) also added support to copper prices’ uptrend.
Technical Level
Gold
Above 27820 rally remain continue till 28020—28050 mark
Support and stop loss below 27600
Silver
Support at 36550 and Resistance at 37150
Break and sustain above 37150 will take it to 37500—37750 mark else could touch its support level of 36550.
Fresh selling can be initiated below 36550 mark.
Crude
Support at 2920 and Resistance at 2980
Break and sustain above 2980 will take it to 3025--- 3080 mark else could touch its support level of 2920 again.
Fresh selling can be initiated below 2920.
Natural Gas
Support 193 and Resistance 197
Break and sustain above 197 will take it to 200—203+++ mark else could touch its support level of 193
Fresh selling can be initiated below 193
Copper
Support at 381.50 and Resistance 386
Looks positive and could touch its resistance level of 386. Further upside rally will see on close above 386 else could touch its support level of 381.50 again.
Fresh selling can be initiated above 381.50 only.
Economic Data
07:30 Fed Chair Yellen Testifies
08:00 P.M Crude Oil Inventories: Previous -6.3M, Forecast -3.2M, Actual –??
Impact – Increase Crude Oil Inventories – will have negative impact on crude oil prices vice versa.
More will update soon!!
