Weekly Report of Gold

Weekly Report of Gold

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Events of the week

12th April     10 -Y Bond Auction 1.52/ 2.4
Federal Budget Balance

13th April    6.00 PM CPI & Core CPI
10.31 PM 30-Y Bond Auction

14th April    9.30 PM Fed Chair Powell Speaks

15th April    12 AM     FOMC Member speaks
1.15 AM FOMC Member Clarida speaks
1.30 AM FOMC Member Bostic speaks
16th April    1.30 AM  TLC Long Term Speaks

Effect: Expected effect all of the above data shows down side for the week in bullion.

Gold COMEX has a very good resistance @ 1754$ where 90% seller arrive & only it change its position above 1761$+ sustain, which will take it towards 1777$ where seller again may activate their position. This position is only for the week.

At the end we prefer to remain in Buy position only for Gold. Which should take a start up from 1700$ with a back up of 2nd Buy position on 1675$. A one should not miss the same opportunity of Buy.

Fundamental:

US Inflation is @ 1.7% at the end of Feb 2021.
Fed will continue to print Money & spoored by injection of Package in economy (in terms of sell a Bond or any other way)till the time American people do not get their routine lives back.
Fed will not increase current interest rate from 0% to upside for this year.
By the time inflation touch or cross 2% then very hard condition will repeat same as 1970 economy which will impact on Bullion a very heavy upside move will start all of a sudden.

Gold is just taking a time to move upside as per current fundamental situation.
As India banned some injection as well have own COVID cases are highly increasing this impacts badly on Exports also + Imported product on domestic demand this will cause to remain USDINR more weaker with price will sustain on upside till 75.60 Rs. And this will support MCX Gold price to sustain remain upside

Technical

Gold has Bottom out level of 44000. We have clear given a Buy Call from 44000+ Buy for target of 47000 in month of May, Where current contract made a Low of 44108 towards High of 46900.

Now still Gold will remain its bottom out level of 44000 & comex 1660$ around to make a move for upside 1823$ again & 50,000 in MCX.

In MCX we consider a 38400 as a bottom of 16th March 2020 Low with High 56191 of July 2020. This mathematics has already been explain in our previous reports also.

So all trader should be very clear while making a position for the week its Sell & Positional Trader will remain in Buy from the given entry price.

Gold

Range: 47700 – 45025

Our Preference: Sell Gold 46900 add sell on 47150 for target 45580 with SL only above 47300.

Alternative Scenario: Buy Gold 45550+ for target 46200 & 46500 with risk only below 45250.

Trading Zone of the week

47700 Last sell of the week

46950 Sell start for the week

45550 Buy start for the week

45021 Last Buy of the week

Day Trader can take a risk of 200 point to deal in above mention point.

Silver

Range: 64064 – 68500

Our Preference: Sell Silver 68040 add on sell 68470 for target 66500 with SL only above 68700+

Alternative Scenario: Buy Silver 64200+ for target 67500 with SL only below 63700

Trading Zone

68470 Last sell for the week

66152 Buy for the day with risk of 300 point for 1000 point target

65109 Buy start for the week

64064 Last buy for the week

 

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