Finance Update

Gold: Outlook: Gold on track to scoop up more gains

Crude oil may remain sideways, which is seen to run up towards Rs 4,520 while finding strength near Rs 4,440 on MCX.

ETMarkets.com|

Updated: Apr 09, 2019, 10.45 AM IST

Gold can take support near Rs 31,900 while facing resistance near Rs 32,450.

NEW DELHI:

Gold

futures are expected to take on some lustre on Tuesday in light of a positive trend overseas.

The metal scaled more than one-week high, aided by dollar weakness.

The greenback was shackled by a combination of weak US economic data and gains for commodity-linked currencies such as Canadian and Australian dollars, which drew support from an extended surge in crude oil prices, Reuters reported.

How is the commodity play looking like? We bring you a report from brokerage SMC Global Securities.

Bullion: Gold can take support near Rs 31,900 while facing resistance near Rs 32,450. Silver can witness lower level buying and test Rs 38,300 while taking support near Rs 37,600.

Base metals: Base metals may show a positive bias. Copper may test Rs 456 while taking support near Rs 445 on MCX. Zinc can test Rs 231 while finding relief near Rs 226. Lead can move in a range of Rs 137-140. Nickel may recover towards Rs 928 while taking support near Rs 905. Aluminium prices may move in the range of Rs 145-148.

Energy: Crude oil may remain sideways, which is seen to run up towards Rs 4,520 while finding strength near Rs 4,440 on MCX. Natural gas may witness lower level buying and test Rs 193, with a likely support near Rs 185.

Spices: Turmeric futures (May) are expected to harden and hit Rs 7,000, taking positive cues from the spot markets. Jeera contracts are likely to breach the barrier near Rs 16,300 and move ahead up to Rs 16,500. Coriander futures are likely to take support above Rs 7,150.

Oilseeds: Soybean futures are expected to come down to test Rs 3,790 levels and those of soy oil will possibly touch Rs 725 level on the downside. CPO futures (April) are expected to retreat towards Rs 537 level, taking negative cues from the international market. Mustard futures for May are expected to trade with a negative bias in the range of Rs 3,760-3,795 levels.

Other commodities:

Cotton futures (April) are hovering near two-month high and may log more gains, likely hitting Rs 22,600. Guar seed and guar gum futures (May) together may take support from near Rs 4,440 and 9,040 levels, respectively.

Also Read

Gold Rate Today: Gold falls on weak demand

Gold Rate Today: Gold climbs higher on raised spot demand

Gold Rate Today: Gold prices fall as demand slumps

Gold Rate Today: Gold trades lacklustre on muted spot demand

Gold Rate Today: Gold prices decline on weak demand

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Source

Prakash Poojary
Business Analyst

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