Gold prices held steady on September 2 ahead of the US non-farm payrolls data that is crucial to the Federal Reserve's tapering plan, even as a private payrolls report missed expectations.
On the Multi-Commodity Exchange (MCX), October gold contracts were trading marginally in the green, up 0.03 percent at Rs 47,080 for 10 grams at 0924 hours. September silver futures was up 0.09 percent at Rs 63,633 a kilogram.
Gold prices rose by Rs 40 to Rs 47,279 per 10 gram on rupee depreciation and lacklustre global cues. The yellow metal traded in a narrow band as market players await August US non-farm payroll data later this week.
Gold and silver showed mixed trend in the international markets after lower than expected US ADP non-farm employment data. Gold prices are holding important support levels of $1800 per troy ounce ahead of the US job reports and expected to test $1844 levels again, said Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research.
Silver prices are supported by supply concerns and revival in manufacturing activities. We expect both the precious metals to remain volatile in today’s session. Gold is having support at $1804-1792 per troy ounce and resistance at $1830-1844 per troy ounce; silver is having support at $24.00-23.70 per troy ounce and resistance at $24.55-24.80 per troy ounce, he said.
"At MCX, gold has support at 46920-46770 and resistance at 47250-47480; silver has support at 63500-63100 and resistance at 64100-64600 levels. We suggest buying gold around 47000 with a stop loss of 46770 for the target of 47440.
Technical indicators
Sriram Iyer, Senior Research Analyst at Reliance Securities
International gold spot and futures traded in a narrow band on Wednesday. International spot and futures silver prices ended with gains on Wednesday. International gold prices have started flat this Thursday morning in Asian trade ahead of the nonfarm payroll number on Friday.
Technically, COMEX December Gold supports are at 1810.17 and 1804.33. Resistances are at 1822.27 and 1828.53. MCX Gold October supports
are at 46812 and 46940.Resistances are at 47236 and 47404.
Technically, COMEX December Silver resistances are $24.660 and $24.990. Supports are at $24.110 and $23.890. MCX Silver September supports are
at 62945 and 62315. Resistances are at 63990 and 64405.
Amit Khare, AVP- Research Commodities, Ganganagar Commodities
Gold prices are slightly lower and silver solidly higher in midday US trading Wednesday. Metals traders are seeking the next significant fundamental input, which will likely be Friday morning's US jobs report. October gold futures were last down $1.40 at $1,814.40. December Comex silver was last up $0.249 at $24.255 an ounce.
Yesterday October Gold made a high of 47276 then made a low of 46980, and silver made a low of 62828 then made a high of 64111. Gold and silver are showing strength in daily chart and Momentum indicator RSI also giving positive signal, Silver is showing more strength comparison to gold, so traders are advised to create fresh buy positions in gold and silver near given support levels, traders should also focus important technical levels.
October Gold closing price 47068, Support 1 - 46900, Support 2 - 46700, Resistance 1 - 47250, Resistance 2 - 47460.
December Silver closing price 63840, Support 1 - 63100, Support 2 - 62400, Resistance 1 - 64550, Resistance 2 - 65600.
Sandeep Matta, Founder, TRADEIT Investment Advisor
The lackluster movement in gold continue and is somehow manage to trade above the key momentum indicators. The market participants are eyeing on employment data to be released on Friday which is expected to come lower than expected. Lower employment data could have bullish undertone for gold and bearish for dollar and precious metal may find a new catalyst to break its key resistance zone of $1835-$1845/oz.
Gold on MCX also traded in the tight range both the side and closed mostly unchanged. Equity markets are making new highs on daily basis and getting more traction than the safe heaven. The outlook for the gold is expected to be rangebound during the day and will offer opportunities for the traders both sides.
Key level for Gold August Contract – 47108
Buy zone above – 47115 for the target of 47236-47404
Sell zone below – 47090 for the target of 46960-46812
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