Fundamental News and Triggers
• Gold and Silver prices rebounded last week as dollar was dumped on weak jobless data. The US economy appears to be contracting, according to the most recent unemployment figures, which are a sign of a slowing labour market.
• When the Fed meets this week, it may decide to pause its cycle of rate increases due to weakness in the labour market and some easing in inflation. However, recent indicators of personal consumption and nonfarm payrolls exceeded expectations, which has raised uncertainty regarding the central bank’s future course of action.
• Markets are pricing in a nearly 83% chance that the Fed will pause in June, according to Fed Fund futures prices, with a 24% chance that it won’t.
• Gold has rebounded from critical support of $1955 on a medium-term ascending channel. Next support is $1935 (Rs 59200) and $1900 (Rs 58400) and resistance is $2000 (Rs 60400) and $2025(Rs 61000).
• Silver is trading rangebound facing strong resistance around $24.15(Rs 73000) and support around $23.5 (Rs 71500).
Support and Resistance
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