Quantcast
Other Stories

At India's Multi Commodity Exchange, gold futures for April delivery has been trading range bound in 30,000 levels ocassionally falling to 29800 levels last week.

25 Feb 2014

LONDON/MUMBAI (Commodity Online): US gold futures rallied to a high of$1339 an ounce before falling bak to $1334 an ounce on profit booking and investor expectations that Federal Reserve will go ahead with its plans to reduce stimulus measures.

At India's Multi Commodity Exchange, gold futures for April delivery has been trading range bound in 30,000 levels ocassionally falling to 29800 levels last week.

China has overtaken India as the largest gold consumer in 2013, however, gold demand may weaken as higher prices have impacted market senitments this week analysts said. Volumes for the benchmark contract on the Shanghai Gold Exchange declined for a second day and the metal for immediate delivery has traded at a discount to London prices since February 20, Bloomberg reported.

In Asian trade on Tuesday, Gold is seen volative over worries that Ukraine could plunge into a sovereign debt default and that the likelihood of stimmulus measures being tapered in USA. 

"On daily charts, an RSI 71.69 suggests rally could be overdone but a break of 1330 resistance provides momentum for a further push to 1355 levels in the near term. MACD is in positive territory providing further support to gold," Sreekumar Raghavan, Chief Strategist at Commodity Online said. Weak dollar index has also supported precious metals complex in recent days, he added.

Meanwhile, silver for May delivery fell 0.15% at US$21.000 a troy ounce, while copper futures for May delivery were down 0.05% at US$3.230 a pound.

Data to watch
-CB Consumer Confidence
-German GDP data 


YOUR RESPONSE
Click on the image to reload it
Click to reload image
COMMENTS (0)

@2013 COMMODITYONLINE ALL RIGHTS RESERVED