Technically MCX Gold is getting support at 31777 and below same could see a test of 31674 levels and resistance is now likely to be seen at 32059, a move above could see prices testing 32238.
Gold slipped as the dollar bounced up off lows as investors pared back bearish positions on the U.S. currency. Fed Chairman Jerome Powell said the U.S. central bank has the ability to be patient on monetary policy given data showing stable prices, and downplayed suggestions that interest rates would be raised twice more this year.
Global markets have been on the rise for the previous four sessions, but lost steam on limited clarity from U.S.-China trade talks and as data from China and France fed worries about the global economy.
A range of U.S. Federal Reserve policymakers said last month that they could be patient about future interest rate increases and a few did not support the central bank’s rate increase that month, minutes from their Dec. 18-19 policy meeting showed.
China’s commerce ministry said that trade talks with the United States this week were extensive, deep and detailed, and established a foundation for the resolution of each others’ concerns. U.S. President Donald Trump stormed out of talks with Democratic congressional leaders over funding for a border wall with Mexico and reopening the government, complaining the meeting in the White House was “a total waste of time”.
Meanwhile, British Prime Minister Theresa May suffered an early defeat to her Brexit plans on Wednesday when parliament demanded the government come up with a plan-B within days if she loses a vote on her deal to leave the European Union.
--Gold trading range for the day is 31674-32238.
--Gold slipped as the dollar bounced up off lows as investors pared back bearish positions on the U.S. currency.
--Fed officials saw the extent and timing of future hikes as less clear
--A few Fed officials favored no rate increase at December meeting
Courtesy: Kedia Commodities