Fundamental News and Triggers
• Gold and Silver prices retreat from overbought zone on optimism of US diplomats passing the US debt ceiling deal by the end of this week, which lead to recovery in Dollar Index, which was in oversold zone.
• US President Joe Biden and House Speaker Kevin McCarthy were able to persuade markets that they can work together to avoid a “catastrophic” default, which supported the market’s risk-on mood and propelled the US Dollar.
• Gold prices have 23.6% retracement support at $1970 (Rs 58750), which if breaks, can take prices down to 38.2% retracement at $1900(Rs 56900), of the rally from $1600 (Rs 49000) to $2075 (Rs 61800) in short-term. Long-term view is still bullish, buy on dips.
• Silver prices are likely to get support around current levels of $23.80- $24 (Rs 72000), as this is the 38.2% retracement of the rally from $20(Rs 61500) to $26.4 (Rs 78000). Long–term view is still bullish, buy on dips.
Support and Resistance
Disclaimer: This report contains the opinion of the author, which is not to be construed as investment advices. The author, Directors, 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 above-mentioned opinions are based on the information, which is believed to be accurate, and no assurance can be given for the accuracy of the information. The author, directors and 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 an 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 no way guaranteed. No guarantee of any kind 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 purpose and are not to be construed as investment advices.