Gold prices recoiled from early gains on profit booking after touching a record high with volatility spiking to its highest since November. Concerns about rising inflation in many parts of the world have made precious metals attractive to investors. Participants will be focused on the Federal Open Market Committee meeting Tuesday and Wednesday and the subsequent news conference by Fed Chairman Ben Bernanke.
In his first-ever post-policy-meeting press conference, most expect Bernanke to reiterate the current policy of keeping interest rates low and allowing the Fed's "quantitative easing" program to run out in June. Now technically market is trading in the range as RSI for 18days is currently indicating 66.39, where as 50DMA is at 21298.14 and gold is trading above the same and getting support at 21850 and below could see a test of 21714 level, And resistance is now likely to be seen at 22147, a move above could see prices testing 22308.
Trading Ideas:
Gold trading range is 21714-22308.
Gold prices recoiled from early gains after touching a record high on profit booking
Gold looks to take support at 21850 and resistance at 22147.
In spot gold looks to get support at 1484$ and resistance is at 1508$ level.
Crude oil futures look to trade weak as investors were uncertain whether the U.S. Federal Reserve would signal a change in its easy monetary policy after a two-day meeting of policymakers that concludes on Wednesday. The United States is considering sanctions against Syrian government officials to increase pressure on President Basher al-Assad to end a violent crackdown on protesters, a U. S. official said on Monday. Now crude is getting support at 4948 and below could see a test of 4892 level, and resistance is now likely to be seen at 5067, a move above could see prices testing 5130.
Trading Ideas:
Crude trading range is 4892-5130.
Oil prices fell as investors took profits on a sell off in silver from near record highs.
Crude looks to test support at 4948 and resistance is seen at 5067.
Continuing unrest in Middle East and OPEC member Nigeria underpinned oil, highlighting potential threats to supply.
Copper yesterday traded with the negative node and settled -2.62% down at 421.9 tracking shanghai copper which closed lower on Monday, tracking losses in U.S. futures, which dropped as much as 1.3 percent, ahead of possibly weak economic data from the United States and Britain this week.The LME market is still closed for the Easter break.
The US Department of Commerce announced on April 25th that new housing sales for March rose by 11.1% to a 300,000 annual pace, higher that economists prediction of 280,000. Market players are now unwilling to buy or sell US dollars before the interest rate meeting on Thursday, sending the US dollar index lower slightly.
Later, the S&P affirmed the credit rating cut to A-minus and negative outlook for California, further weighing on market confidence. For today's session market is looking to take support at 415.5, a break below could see a test of 409.2 and where as resistance is now likely to be seen at 430.4, a move above could see prices testing 438.9.
Trading Ideas:
Copper trading range is 409.2-438.9.
Copper yesterday traded with the negative node tracking weak shanghai copper prices
Copper is taking resistance at 430.40 and support is seen at 415.50.
Copper daily stocks at Shanghai exchange came down by 552 tonnes.
