By Paul Ploumis 04 Sep 2015 Last updated at 05:44:38 GMT
Gold: Daily Technical Recommendations
| Exchange | Contract | S2 | S1 | PCP | R1 | R2 | Recommendation |
| COMEX | Dec-15 | 1116.9 | 1120.5 | 1124.50 | 1129.9 | 1134.8 | Sell at 1127-1130 TP 1116 SL 1134 |
| MCX | Oct-15 | 26217 | 26302 | 26394 | 26530 | 26651 | Sell at 26450-26470 TP 26200 SL 26600 |
| Gold Hedge NCDEX | Sep-15 | 23920 | 24000 | 24189 | 24230 | 26360 | Sell at 24230-24250 TP 24000/23920 SL 26360 |
REVIEW:
• Gold prices tumbled after the ECB kept the rates at record lows and signaled that it could extend the stimulus which fuelled the dollar against Euro. Prices are headed for a second negative weekly close
• Prices took a beating after the ECB lowered the GDP and inflation targets amidst lower commodity prices
• Data from the labour department showed that the number of individuals filing for initial job benefits increased by 12,000 last weeks to 282,000. Analysts expected initial jobless claims to rise by 5,000 to 275,000
• Prices are likely to take clues from the crucial nonfarm payroll data for the month of August to be released today. A weaker employment data can make it difficult for the Fed to go with the rate hikes yet
OUTLOOK: The ECB president’s comment boosted the dollar against the Euro putting pressure on the bullion prices, especially gold. However the initial claims that came a little higher than expected pointed to a slightly weaker nonfarm payrolls data supported the prices at lower levels. Participants will be closely monitoring the data as it will play a crucial role in fed meeting where a lot of speculations are being made regarding the interest rate hike. A weaker number will make it difficult for Fed to sell a rate hike which can be supportive for gold prices. There can be some consolidation in the morning trade but as the trend remains weak the strategy remains to sell.
Gold Price in Different Currency
| Exchange | 9/3/2015 | 9/2/2015 | Change (%) |
| COMEX (USD/oz) | 1124 | 1133 | -0.80% |
| London AM Fix (USD/oz) | 1130 | 1140 | -0.87% |
| London PM Fix (USD/oz) | 1130 | 1140 | -0.87% |
| London (GBP/oz) | 738 | 741 | -0.50% |
| Euro (EUR/oz) | 1011 | 1010 | 0.08% |
| Switzerland (CHF/oz) | 1096 | 1100 | -0.38% |
| Canada (CAD/oz) | 7143 | 1506 | -1.59% |
| China(CNY/oz) | 7143 | 7219 | -1.05% |
| Mumbai (INR/10gm) | 26394 | 26629 | -0.88% |
Silver: Technical Recommendations
| Exchange | Contract | S2 | S1 | PCP | R1 | R2 | Recommendation |
| COMEX | Dec-15 | 14.45 | 14.57 | 14.71 | 14.87 | 15.01 | Trading range 14.92-15.50 |
| MCX | Oct-15 | 34931 | 35154 | 35400 | 35694 | 35957 | Trading range 35800-35000 |
REVIEW:
• Silver prices continued to diverge with gold and ended the day with marginal gains
• Comex silver for Dec delivery tested highs of $14.92 an ounce however ended the session at $14.70 an ounce after making lows of $14.55 an ounce
• Market participants are cautious ahead of FOMC meeting scheduled on 16- 17th Sep 2015, that could decide the course of interest rates, typically higher interest rates are negative for bullion prices as it fetches no interest
OUTLOOK: Silver prices continued to diverge with gold and ended the day with marginal gains. Markets will be eyeing on the nonfarm payrolls and employment data due to be released today. Prices are likely to see selling at higher levels as they have been not able to sustain gains in the wake of weaker gold prices, therefore the strategy remains to sell on rise.
Silver Price in Different Currency
| Exchange | 9/3/2015 | 9/2/2015 | Change (%) |
| COMEX (USD/oz) | 14.7 | 14.7 | 0.28% |
| London AM Fix (USD/oz) | 14.7 | 1456.0 | -98.99% |
| London PM Fix (USD/oz) | 9.6 | 9.6 | 0.12% |
| London (GBP/oz) | 13.2 | 13.1 | 0.76% |
| Euro (EUR/oz) | 14.3 | 14.3 | 0.32% |
| Switzerland (CHF/oz) | 19.4 | 19.5 | -0.90% |
| Canada (CAD/oz) | 20.9 | 20.9 | 0.00% |
| China(CNY/oz) | 93.3 | 93.7 | -0.35% |
| Mumbai (INR/10gm) | 34762 | 34728 | 0.10% |
Courtesy :Karvy Commodities
