Gold October Down Trend, Selling Recommended
CommodityOnline | Sep 09, 2014 02:39AM ET
As per the candlestick pattern it formed a “Bearish Candlestick” with closing below multiple week low indicating bearish trend for coming trading sessions.
MCX Gold October as seen in the weekly chart above has opened the week at 27,958 levels. During this week prices moved marginally higher and made a high of 27,967 levels. This week prices fell sharply lower towards the new weekly low of 27,332 levels. This week prices have closed at lowest levels in 10 weeks and finally closed 2.21% lower at 27,378 levels.
As per the candlestick pattern it formed a “Bearish Candlestick” with closing below multiple week low indicating bearish trend for coming trading sessions.
For the next week we expect gold prices to find support in the range of 27,100 – 27,150 levels. Trading consistently below 27,100 levels would lead towards the strong support at 26,800 levels and then finally towards the major support at 26,500 levels.
Resistance is now observed in the range of 27,650 – 27,700 levels. Trading consistently above 27,700 levels would lead towards the strong resistance at 28,000 levels, and then finally towards the major resistance at 28,400 levels.
MCX / Spot Gold Trading levels for the week
Trend: Down
S1 – 27,100 / $ 1,255 R1 - 27,700 / $ 1,285
S2 - 26,800 / $ 1,240 R2 - 28,000 / $ 1,300
Weekly Recommendation: Sell MCX Gold October between 27,650 – 27,700, SL- 28,000, Target – 27,150 / 27,100
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.