MCX Gold under fresh buying; Support seen at 38322
Commodity Online | October 10 2019
UPDATED 09:00:58 IST

MCX Mentha Oil under short covering; Support seen at 1271.5

MCX Aluminium may trade between 130.2-131.4 levels

MCX Nickel likely to move in a range of 1050.2-1099.2

MCX Zinc under fresh selling; Support seen at 186.5

MCX Copper under fresh selling; Support seen at 434.5

Technically Gold market is under fresh buying as market has witnessed gain in open interest by 0.61% to settled at 19990.

Now MCX Gold is getting support at 38322 and below same could see a test of 38146 levels, and resistance is now likely to be seen at 38624, a move above could see prices testing 38750.

Gold on MCX settled up 0.3% at 38497 ahead of minutes from the U.S. Federal Reserve's September meeting, with risk sentiment boosted by a report China was still open to agreeing a partial trade deal with the United States.

Investors monitored the latest news around US-China trade talks and digested comments from the top Federal Reserve official. Washington blacklisted Chinese companies over Beijing’s treatment of predominantly Muslim ethnic minorities, while President Donald Trump said a quick trade deal was unlikely. Federal Reserve Chairman Jerome Powell said Tuesday that the central bank would expand its balance sheet “soon.” He noted this measure will be used as a response to the recent funding issues the bond market faced in recent weeks. “This is not QE. In no sense is this QE,” Powell said in a question and answer session after the speech.

Ahead of high-level trade talks on Thursday, the U.S. imposed visa restrictions on Chinese officials for the detention or abuse of Muslim minorities. U.S. President Donald Trump has said tariffs on Chinese imports will rise on Oct. 15 if no progress is made in the negotiations. Market participants are uncertain if a breakthrough can be achieved between Washington and Beijing in the long drawn out trade dispute that has rattled financial markets. Also on the radar were developments concerning Britain's exit from the European Union, with EU officials denying that Brussels was preparing a major concession to Britain to secure an Brexit deal.

Trading Ideas:
--Gold trading range for the day is 38146-38750.
--Gold gained ahead of minutes from the U.S. Federal Reserve's September meeting.
--U.S. President Donald Trump has said tariffs on Chinese imports will rise on Oct. 15 if no progress is made in the negotiations.
--Investors monitored the latest news around US-China trade talks and digested comments from the top Federal Reserve official.

Courtesy: Kedia Commodities

Commodity Arrivals Rate
Mustard Oil 14.93 9380.00
Coconut Oil 0.1 16300.00
Sugar 255 3322.00
Rubber 0.08 12400.00

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