Gold
Spot gold price crashed yesterday from 1579$ to 1548$. We were in sell from 1575.20$ as my sell signal initiated on this level. We booked profit at 1566.20 & made nearly $900 profit per lot in yesterday’s gold trade. Major crash in gold was sponsored by higher dollar index & world stock markets. Dow Jones recovered nearly 400 points from lows fueling sell in precious metals.
Coronavirus concerns were also sidelined yesterday as market took a breather due to good numbers from US. Main strength came from China’s stock market which closed 1.5% up after nearly 8% fall on Monday. This gave good confidence and buyers returned in equities and gold faced good profit booking from higher levels.
Gold even broke 1550$ and tested 1548$ before recovering till 1560$. I have mentioned in my weekly video on youtube that 1548$ is a very crucial level which may be a trend decider if market close below 1548$.
This week we have major data from US. Non farm payroll & Unemployment numbers will be very crucial this Friday. If jobs numbers are positive and better than forecast then we may see an uptick in dow jones which may result another round of selling in xauusd.
Weak job numbers may fuel gold price higher and we may test 1600$ range once again. A weekly closing above 1600$ would give another positive chapter to gold buyer.
For now gold prices are trading in 1555$ zone. Good resistance in xauusd chart stands at 1564$. If trader breaks and sustain above 1564$. Then expect good rise in gold till 1572$ – 1580$.
Support in gold chart stands at 1548$. If trader tank this base and manage to sustain below 1548$. Then expect good crash in xauusd till 1540$- 1532$.
Conclusion: Comex gold trend is in weak zone due to yesterday’s crashing. Above 1564$ we may see buyers returning in precious metals. Else we will see more fall. Only saving grace is 1548$. Below this level we may see another bloodbath in gold prices and sellers may have upper hand in market.
For gold signals package details
Whatsapp at +91-9920315014
Click here to join me on telegram
Click here to subscribe my youtube channel