Bullion prices consolidate at a record high level

Fundamental News and Triggers

  • The price of gold and silver consolidates at record highs, building momentum for further gains. Financial markets anticipate two cuts of one-quarter percentage points before the end of the year, with the first cut occurring at the earliest possible date in September. This is a negative trigger for bullion.
  • Federal Reserve members stressed that the US central bank is likely to maintain interest rates higher for a longer period and cautioned that much more evidence of easing inflation was required before it could start reducing rates.
  • President of the Atlanta Fed Raphael Bostic stated that the US central bank has to exercise caution with this excellent decision. Bostic said, “To be sure inflation does not start to bounce around, I would rather wait longer for a rate cut.”

Technical Triggers

  • Gold has made a double top around $2450 (~Rs 74000), and prices are expected to retrace now towards $2380 (Rs 72800). Prices need a positive trigger to cross the previous high.
  • Silver prices are getting bullish support from positive momentum in gold and copper prices. Silver has strong support at 92000, if prices sustain below this level, it means it has topped out and is expected to retrace further towards 90000 and 87500


Support and Resistance



Disclaimer: This report contains the author’s opinion, which is not to be construed as investment advice. The author, Directors, and other employees of Augmont Enterprise Private Ltd. and its affiliates cannot be held responsible for the accuracy of the information presented herein or for the results of the positions taken based on the opinions expressed above. The opinions mentioned above are based on information, which is believed to be accurate, and no assurance can be given for the accuracy of the information. The author, directors other employees and any affiliates of Augmont Enterprise Private Ltd cannot be held responsible for any losses in trading. In no event should the content of this research report be construed as an express or implied promise, guarantee or implication by or from Augmont Enterprise Private Ltd. that the reader or client will profit or the losses can or will be limited in any manner whatsoever. Past results are no indications of future performance. Information provided in this report is intended solely for informative purposes and is obtained from sources believed to be reliable. The information contained in this report is in no way guaranteed. No guarantee is implied or possible where projections of future conditions are attempted. We do not offer any sort of portfolio advisory, portfolio management or investment advisory services. The reports are only for information purposes and are not to be construed as investment advice.

Share on