Gold futures edged higher on Monday as the dollar slipped against a basket of major currencies after mixed US jobs data late last week lowered expectations for near-term interest rate hikes. US job growth surged more than expected in January as construction firms and retailers ramped up hiring, but wages barely rose, handing the administration under President Donald Trump both a head start and a challenge as it seeks to boost the economy.
Crude oil futures traded marginally higher on MCX as investors and speculators extended their positions in the energy commodity on weak US dollar and rising concerns that new US sanctions against Iran could be extended to affect crude supplies. However, signs of growing US production and worries over slow import demand in China, capped some gains in crude oil prices. An oilfield services firm reported that US drillers added 17 oil rigs in the last week to February 3, bringing the total count up to 583, the most since October 2015.
Copper futures traded higher on Monday after reports showed growth in China's services sector remained strong in January, with a PMI score of 53.1, but missed the expected 53.6 level and was below the previous month figure of 53.4. Meanwhile, investors awaited clarity on the labor situation at Chile's Escondida mine, the world’s biggest source of the metal, where the government is playing a broker between management and workers over a strike threat on wages.
Technical Level
Gold
Support at 28900 and resistance at 29080.
Looks positive and could touch its resistance level of 29080. Break and close above 29080 will see further upside rally till 29240---29360 mark.
Fresh selling can be initiated below 28900 for the downside target of 28750---28680 and then to 28550 mark
Trade with levels only
Silver
Support at 41300 and Resistance at 42000
Close above 42000 will take it to 42800---43200 mark else could touch its support level of 41300 again.
Fresh selling can be initiated below 41300 mark.
Crude oil
Support at 3570---3540and Resistance at 3680
Close above 3680 will take it to 3750—3780+ mark else it could touch its support level of 3570---3540 again.
Looks weak on close below 3540 mark
Natural Gas
Support 205 and Resistance 209
Break and sustain below 205 will take it to 202—200 and then to 195 mark else could touch its resistance level of 209.
Further upside rally will see only close above 209 mark.
Trade with levels only
Copper
Support at 386 and resistance at 393---397
Close below 386 will take it to take it to 381---378 and then to 370 mark else it could touch its resistance level of 393---397 again.
Fresh buying can be initiated above 397 mark.
Nickel
Support at 680 and resistance 712.
Looks positive and could touch its resistance level of 712.
Three consecutive close + weekly close below 712 will take it to 728--745+ mark in days to come else could test its support level of 680 again.
Further downside panic will see on close below 680.
More will update soon!!
