Due to the hawkish monetary policy of US, uncertainty continues in the prices of both gold and silver.
US inflation is reaching its peak but still, no profound strategies are witnessed to combat it. Several countries are going a step further toward recession due to spiked inflation. Furthermore, a hike in interest rates is not the only source to control inflation. Precisely, continuous hike in interest rates is slowing down the economy. Therefore, this is not an apt solution for controlling inflation. On the contrary, the country may face challenges of recession in the days ahead.
Here in this blog, I am going to converse about the detailed analysis of Gold, Silver, and Crude oil.
Gold
The Gold has key support of 49550 on the weekly chart and resistance is at 52650—53200.
Gold has been continuously reducing its radius for the last 7 months, due to which a triangle pattern is being seen.
If we talk about bullion, then there is a strong position in gold compared to silver. The Gold-Silver ratio is also trading around 95.
If gold gives closing below 49550, then targets up to 48000—47000 can be seen, otherwise targets up to 52650—53200 can be seen.
The triangle pattern in gold is of 6000 points. If gold breaks the resistance level of 53200, a new rise of 6000 points / Rs. will be seen.
If we talk about the monthly chart of gold, not a single solid candle has been formed for the last 6 months. And we expect to see a big move in early gold.
There has been pressure in gold due to the rise of US interest rates, but due to the crunchy global economy, there has been no major fall in gold.
A trigger is needed in the market for the rise in gold and it is expected that a bullish trend will be seen soon. In Gold we don’t see huge drop in Indian market. In view of the festive season and further movement, spot buying will be safe.
Traders can trade within levels.
Silver
Now let’s talk about silver… Silver has bounced off its main support from the 252-week average. Closing has not been seen in silver below the level of 52000.
If weekly closing comes below 52000 in silver, then levels up to 48000—47000 can be seen.
But one thing is for sure even if silver breaks the lower levels of 52000, it will not be easy for silver to stay at the lower levels.
At present, we have advised buying silver around 53000. Silver does not see a huge fall from these levels. Silver is expected to remain in a strong position in the coming times.
A positional bullish trend in silver will be formed only after weekly closing above 55550. Positional selling at lower levels is not safe.
It would never be wise to sell silver for $18. Silver has very little chance of closing or sustaining below $10. Keep an eye on the financial figures.
Read the trading levels carefully. Don’t forget to read Commodity Samachar daily.
(Silver may cause trouble trading at lower levels but it will be safe to buy on the downside.)
Crude Oil
Today OPEC’s discussion on the production of crude oil is going on.
(OPEC is the organization of crude oil-producing countries. The main function of the OPEC organization is to control the supply of production and demand and to keep prices stable.)
Crude oil’s support zone is at 6900. Crude oil is rebounding again and again from the support of 252 weeks around 6900.
After the meeting of OPEC today, there may be volatility in crude oil. The signs of bearishness in crude oil will be seen only when it closes below 6900, otherwise, if the level of 7200 is broken, the target of 7600—7700 can be seen.
If OPEC cuts crude oil production, there will be a bullish trend. Be careful with crude oil at lower levels. If you have kept bullish then keep a stop loss below 6900 on a closing basis.
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