Updates on Bullion, Base Metals and Energy Levels 7th March 18
Gold futures traded with positive bias from last couple of days as participants enlarged their holdings on the back of a firm trend in the overseas market and the dollar weakened after US President Donald Trump stated that he would push ahead with punitive tariffs on steel and aluminium imports, rejuvenation fears of a potential trade war. We expect gold prices to trade higher in coming days as trade war concerns between US and other countries will limit risk appetite and boost safe haven to yellow metals.
Crude oil prices traded lower weighed by the release of downbeat U.S. supply data from API and by the threat of potential trade wars. Further, soaring US crude oil production and rising inventories also weighed on crude oil prices, even though efforts led by the Organization of the Petroleum Exporting Countries (OPEC) and Russia to withhold output in order to prop up prices.
Support at 30350 and Resistance at 30700
We expect a bit correction before ADP non-farm employment data. Above 30700 will take it to 30850—31000 else could it can touch its support level of 30350.
Fresh selling can be initiated below 30350
Support at 38800 and Resistance at 39500
Break and sustain above 39500 will take it to 40000---40200 else it could touch its support level of 38800.
Fresh selling can be initiated below 38800
Support at 4040 and resistance at 4110
Sustainable move along with good volume below 4040 will take it to 3960—3940 mark else could touch its support level of 4110 mark.
Fresh buying can be initiated above 4110
Trade with levels only.
Support at 176.00 and Resistance at 181.00,
Break and sustain above 181.00 will take it to 185—188+++ mark else could touch its support level of 176.00
Fresh selling can be initiated below 176.00
Support at 452 and resistance at 458
Sustain below 452 will take it to 446—443 mark else could touch its resistance level of 458 again
Fresh buying can be initiated above 458
06:45 P.M ADP Non-Farm Employment Change: 234, Expected 199K, Actual??
Increase in ADP Non-Farm Employment Change – will have positive impact on dollar index and negative impact on bullion or vice versa.
09.00 P.M Crude Oil Inventories: Previous 3.0M, Expected 2.6M, Actual??
Increase in Crude Oil Inventories – will have negative on crude oil prices or vice versa.