Updates on Bullion, Base Metals and Energy Levels 22nd March. 17

Gold futures ended lower on Thursday, after the dollar steadied, amid a mixed batch of US economic data, ahead of a key House vote on a healthcare bill to repeal and replace Obamacare. The Commerce Department reported that new home sales increased 6.1 % to a seasonally adjusted annual rate of 592,000 units last month compared to expectations of a 0.7% increase to 565,000 units. Elsewhere, initial jobless claims increased by 15,000 to 258,000 in the week ending March 18 from the previous week’s revised total of 243,000 against analysts’ expectations of a drop by 1,000 to 240,000.

Crude oil futures slumped to their four months low on Thursday, as investors continued to fret about growing U.S. crude inventories to record levels. Also, the dollar firmed on rate hike chatter and upbeat economic news and weighed down the crude prices. Last day the US EIA reported crude oil inventories jumped another 4.5 million barrels to a record high. Traders are now looking ahead to Friday afternoon's US oil rig count from Baker Hughes for further cues. The rig count has been constantly rising this winter.

Comex copper futures ended higher on Thursday. While London copper prices too steadied, but was still near one-week lows on news that operations at the world's top producing copper mine in Chile would resume. Workers at BHP Billiton's Escondida mine agreed to go back to work on Saturday, ending a 43-day stoppage.

Technical Level

Gold

Below 28730 panic remain continue till 28550—28400, else could touch its resistance level of 28950

Trade with levels only and be cautious at upper levels.

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 3190---3250

Looks weak and can touch support level of 3100, further downside panic will see below 3100 else it could touch its resistance level of 3190---3250 again.

Fresh buying 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 Core Durable Goods Orders m/m:  Previous 0.5% Forecast 0.0% Actual –??

Impact – Increase in Core Durable Goods Orders m/m– will have negative impact on bullion and positive impact on base metals and dollar index or vice – versa.

06:00 P.M Durable Goods Orders m/m:  Previous 2.0% Forecast 1.1% Actual –??

Impact – Increase in  Durable Goods 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!!

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Updates on Bullion, Base Metals and Energy Levels 2nd March. 17

Gold futures ended lower on Wednesday as the dollar strengthened against a basket of major currencies, a rally in US equities, and rising expectations for a March interest-rate hike by the Federal Reserve pushed futures to their lowest finish in a week. Meanwhile, the Institute for Supply Management (ISM) released a report showing that growth in manufacturing activity accelerated by much more than anticipated in the month of February. The ISM said its purchasing managers index climbed to 57.7 in February from 56.0 in January.

Crude oil futures declined on Wednesday reacting to the inventory data, as stockpiles surging for the eighth straight week swelled to a record high. The US Energy Information Administration (EIA) said that crude oil inventories rose by 1.5 million for the week ending February 24, less than forecast but touched a record high of 520.2 million. Gasoline inventories decreased by 546.00 barrels, while distillate stockpiles fell by 0.925 million barrels. While the weekly build was smaller than expected, there is little reason to think the global supply glut will end anytime soon as long as US producers keep pumping at a furious pace.

Copper futures ended higher on Wednesday as manufacturing data from top consumer China showed potential for strong demand, reinforcing worries about shortages due to supply disruptions. Though, some gains were capped on strong US dollar.

Technical Level

Gold 

Support at 29240 and Resistance at 29460.

Break and sustain below 29240 will take to 29080---29030 and then to 28800 mark in days to come else could touch its resistance level of 29460 again.

Looks positive only close above 29460 mark.

Trade with levels only.

Silver

Support at 43700 and Resistance at 44150

Break and sustain below 43700 will take to 43450---43200 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 3550 and Resistance at 3650.

Close below 3550 will take it to 3480---3430 mark. Further downside panic will see close below 3430 else it could touch its resistance levels of 3650 again.

Overall trend looks choppy and has no clear direction. So trade in a range with levels only and wait for confirmation.

Copper 

Support at 400 and resistance at 409---415

Break and sustain below 400 will take it to 396—392 and then to 386 mark else could touch resistance level of 409--- 415 mark.

Fresh buying only above 415.00

Trade with levels only

Major Economic Data

07:00 P.M Unemployment Claim:  Previous 244K Forecast 243K, Actual –??

Impact – Increase in Unemployment Claims – will have positive impact on bullion and negative impact on base metals and dollar index or vice – versa.

09:00 P.M Natural Gas Storage:  Previous -89B, Forecast -5B, Actual –??

Impact – Increase Natural Gas Storage – will have negative impact on natural gas prices or vice versa.

More will update soon!!

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