Fundamental News and Triggers

• Recent political uncertainty in South Korea and unrest in Syria are helping to support gold. With a surprise rebel attack that took Aleppo, one of Syria’s biggest cities and a longstanding center of Middle Eastern culture and trade, the 13-year civil war in Syria has roared back into prominence.
• Yesterday, martial law was declared in South Korea, but it was later withdrawn after 190 out of 300 MPs from the government and opposition parties jointly voted against it. Thousands of demonstrators opposed to martial law had gathered outside South Korea’s National Assembly, trying to enter the Parliament. Security personnel and protesters clashed in the vicinity of Seoul’s Assembly.
• This Friday marks the release of the US employment data for November, and as usual, the unemployment rate and NFP may be the main factors influencing gold price volatility. It is anticipated that the unemployment rate will slightly increase from 4.1% to 4.2% and that the Non-Farm-Payrolls total will reach 202k, much surpassing the dismal record of 12k from previous month.

 

Technical Triggers

• Gold prices are expected to be rangebound and consolidate between $2600 (~Rs 75000) and $2200(~Rs 77600) for the next few days with positive bias.
• Silver prices are expected to be rangebound and consolidate between $30(~Rs 90000) and Rs $32(~Rs 94000) for the next few days.

 

Support and Resistance

 

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