Gold hovers around 1900, WHO concerns reg rising COVID cases
Gold price continue to trade in a narrow range hovering near the $1900 levels amidst a steady dollar, fading chances of a new U.S. fiscal stimulus
package being finalized before the November elections. US Treasury Secretary Steve Mnuchin said he and House of Representatives Speaker Nancy
Pelosi were "far apart" on another coronavirus economic relief package, that would be hard to reach before Nov 3 election, which is not a good
news for gold prices. IMF’s latest global growth forecast which sowed a contraction of -4.4% v/s - 5.2% in June also put pressure on gold prices. On
other hand, WHO has shown concerns regarding the rising Covid cases, in fact Europe have even decided to take certain measures to contain the spread of the virus, hence providing some support for the metal. Market participants will be keeping an eye on the weekly jobless claims data expected from the US which if reported better expectation could support the metal at lower levels.
Technically, Gold hovering around 1900 area with h4 ma50 at 1902 as a pivot and day ma50 at 1929 as resistance with support at 1882 yesterday low. Sustaining in asian session above 1902 could test again yesterday high 1912.94 a break can test the day ma50 at 1929 with a hurdle at 1920 meanwhile. Overall untill it stays above 1880 is a buy on dips strategy. For the day we advise buy on dips is advised.
Suggestion: BUY GOLD FROM 190001 SL BELW 1885 TGT 1916 AND 1920
ELSE
SELL BELOW 1885 TGT 1865 SL ABV 1903
package being finalized before the November elections. US Treasury Secretary Steve Mnuchin said he and House of Representatives Speaker Nancy
Pelosi were "far apart" on another coronavirus economic relief package, that would be hard to reach before Nov 3 election, which is not a good
news for gold prices. IMF’s latest global growth forecast which sowed a contraction of -4.4% v/s - 5.2% in June also put pressure on gold prices. On
other hand, WHO has shown concerns regarding the rising Covid cases, in fact Europe have even decided to take certain measures to contain the spread of the virus, hence providing some support for the metal. Market participants will be keeping an eye on the weekly jobless claims data expected from the US which if reported better expectation could support the metal at lower levels.
Technically, Gold hovering around 1900 area with h4 ma50 at 1902 as a pivot and day ma50 at 1929 as resistance with support at 1882 yesterday low. Sustaining in asian session above 1902 could test again yesterday high 1912.94 a break can test the day ma50 at 1929 with a hurdle at 1920 meanwhile. Overall untill it stays above 1880 is a buy on dips strategy. For the day we advise buy on dips is advised.
Suggestion: BUY GOLD FROM 190001 SL BELW 1885 TGT 1916 AND 1920
ELSE
SELL BELOW 1885 TGT 1865 SL ABV 1903
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