Fundamental Q News and Triggers

• Gold and Silver prices see a parabolic fall as the Dollar Index has surged to an 11-month high trading above 107, propelled by robust US employment data and higher US Treasury yields.

• The dollar is strengthening as several Federal Reserve policymakers have hinted at another rate hike in November or December to keep headline inflation under control and closer to the central bank’s 2% annual objective, which is now 3.7%.

• The US economy’s strength as a result of a tight labour market and strong consumer spending has bolstered the Fed’s hawkish approach. Moreover, the US 2-year bond yield has crossed the 5% level, 10-year treasury bond yield has crossed the 4.8% level and is trading at a 16-year high.

 

Technical Triggers

• Gold continues to break all support levels on panic selling. Prices are waiting for a trigger for prices to get supported. Next support is $1830 (Rs 56000)

• Silver has broken uptrend line support at Rs 70000, prices could get next support at Rs 66000

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.