Gold: November 07 review
Gold prices were very volatile in the last two days. Traders should keep a cautious eye on next step between US-China trade talks.
Due to uncertainty of trade war tensions, Tuesday's profit was washed out. Gold prices continuously traded below $1500 range after making a low of $1480.70 range on last Tuesday.
Yesterday, all European and US stocks traded in consolidation mode after a continuous rally of three days.
As per yesterday's news from Senior Trump administration the meeting between US and China presidents could be delayed until December.
Traders should wait for some more positive signals out of trade talks between world’s leading two economies. Both countries have imposed tariffs on different levels but its again uncertain concerns like when and where the US president Donald Trump and the Chinese president Xi Jinping will meet.
Markets have already discounted a lot of good news for US Dollar.
Before the opening of European markets, Gold futures, December contract traded around $1492.90, -0.01% down. Gold made almost one month low of $1480.70 on Tuesday.
On the other side, US Dollar index made almost one month high of $97.855, today against all major currencies.
Hedge funds and US Dollar have traded in opposite directions at this time of uncertainty and trade war tensions as a non-yielding asset.
Dow 30 futures, December contract traded +25 points, +0.07% up at early European hours. Saudi Arabia is also planning to launch its leading Oil giant Aramco's IPO.
Expectation of profit booking in Hedge funds like Gold and Silver will be there in this week.
For Intraday and weekly strategy for Gold is given below.
Entry point - $1492.90 - $1495.50 range
And keep R1 $1504.50
And wait S1 $1475.00
And wait S2 $1468.00
And wait S3 $1460.00