Sell Nymex crude on rallies; buy on intraday dips: Expert

Commodity market expert, T Gnanasekar, Director of CommTrendz Research and Fund Management shared his outlook on gold and Nymex crude.

Gold edges up, after hitting one-week low on Cyprus deal Below is the verbatim transcript of Gnanasekar's interview with CNBC-TV18. Q: What is the trade on gold and silver today? A: It is a buy on dips as far as trade is concerned. One should also look at how gold made an all time high when the euro zone problem resurfaced. Therefore, safe haven buying is still there and I am glad to see it holding above USD 1,600 per ounce. However, in near term it looks like it may continue to hold the supports and might move up and start having inverse relationship with dollar. So, around Rs 29,550-29,600 per 10gm is a good level to buy with a potential target of Rs 29,850-30,000 per 10gm    Q: Are you putting in any trades on crude? A: There is a differential going on between Brent and Nymex. Brent was having a premium because of supply maintenance and all that is coming into the pipeline now. So, one will see differential play happening and one should not mistake that for crude prices rallying higher. Essentially Nymex will continue to go higher and Brent may continue to come down and Nymex being the benchmark, from the trading perspective it is a buy on dips as far as Nymex crude is concerned. However, overall the fundamental situation for energy market is very mix and a lot of supply at this point in time and overall it is a sell on rallies but intraday it is a buy on dips.