Gold and Silver – Kya Lagta Hai
Short-term View (up to 1 week) – Rangebound– Gold is able to sustain above downtrend channel after 4 months while silver is on the verge of crossing the downtrend line
Long-term View (3-4months) – Positive – Any dips towards 50000 and 55000 should be used as buying opportunities for the target of 55000 and 65000 for Gold and Silver respectively by year end.
SPOT PRICES
SPOT Gold Daily Price Chart
SPOT Silver Daily Price Chart
Important News and Triggers
Precious Metals sees profit booking as Dollar gets safe heaven appeal.
- International News – Precious metals are seeing profit-booking as Dollar Index is rebounding amid safe-haven appeal as other currencies trade depreciates on negative macroeconomic data. China decreased interest rate on Monday on lower-than-expected retail sales and industrial production data
- Economic Data – Investors will be watching out for minutes from the Fed’s last monetary policy meeting due on Wednesday for more clues on future rate hikes.
- Demand and Supply – Traders were pricing in around a 44.5% chance of a 75-basis-point rate hike by the Fed in September and a 57.5% chance of 50 bps.
- Domestic Demands – The Reserve Bank of India (RBI) added 13.4t of gold in July, increasing its total gold reserves to 783.1t. Official imports declined to 42.5t in July, 41% lower y-o-y due to weak retail demand.
