Fundamental News and Triggers

• Gold and silver prices continue to consolidate above a multi-week low reached on Monday. Uncertainty over the Fed rate decrease is preventing traders from making aggressive directional bets.
• The FOMC minutes and the December Nonfarm Payrolls report demonstrate that monetary policy caution is still required. The prospect that the US Federal Reserve would maintain its restrictive policy for a longer period may impose some selling pressure on gold in the near term.’
• A drop in consumer inflation expectations increases Fed rate-cut bets while undermining the dollar. Rising US bond yields and a bullish risk tone limit gains ahead of the US CPI on Thursday.

 

Technical Triggers

• Gold prices have broken the up trendline support of $2045 (Rs 62600), and we can see profit-booking up to $2010 (Rs 61300)
• Silver prices are trading at its important support near $23 (Rs 71800), we can see a rebound from these levels to $24 (Rs 75000)

 

Support and Resistance

 

 

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