Unemployment Claims and Commodity Intraday Trading Tips

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Unemployment Claims and Commodity Intraday
Trading Tips
Mcx Gold Commodity market Trading fell as of
yesterdays closing, we have seen sharp movement
in international markets as it surged in late
night trade tracking huge slump in US Dollar
after the release of FOMC Meeting minutes.
Spot Gold jumped heavily late night IST
and its repercussions are being reflected on
Comex prices today which are standing with a gain
of 1.6percentage to 1225 per ounce mark.
However, note that other than FED related
cues which we were anticipating to drive
good volatility in the commodity, all other
factors still call for bearish sentiment to
continue in near-term. On that note, we are
daring to maintain our bearish bias in the
commodity however advice traders to only look for
momentum trades. At the domestic market gold may
see a gap wherein those initiating Shorts are
advised to maintain strict SL above 27000 at MCX
Dec contract. Gold Dec prices at Comex moved in-
line with our view yesterday with the commodity
largely traded in a ranged manner with negative
bias. Comex Gold active contract slipped
0.5percentage to 1206 r ounce whereas at MCX
Gold Dec gained 0.15percentage to Rs 26880 per 10
Gms. Global Market View Todays morning
session, all the Asian markets are trading
on a positive note tracking the spectacular
bounce of the US markets. SP 500 closed at
1968.59 up by 1.75 following the FED minutes from
the September meetings which were released last
night. From reading between the lines, one can
now assume that the speculation about an early
rate hike from the US would recede in the near
term. SGX Nifty is trading on a positive note up
by 40.00 points in early trade this morning,
indicating a pull back from the recent declines.
Dollar index has declined after the Fed minutes
last night and is currently trading at 85.30.
Most of the global currencies have
appreciated with respect to the dollar. Euro
is trading on a positive note to the dollar in
the morning session at 1.2728 appreciating by 100
pips in the international market, and
Pound too is currently trading on an
appreciating note at 1.6169. Economic data
Germany Trade balance, Current account balance,
UK BOE rate decision, US Jobless claims and the
wholesale inventories. Likewise the case with
gold, silver too is trading higher today with
gains of over 2.25percentage at Comex to 17.45
per ounce. Bullion rose as Fed officials
expressed concern that US economy may be at risk
from a global slowdown. For today is concerned,
we may see some a bit of moderate positivism
extending though overall trend has not changed
still. For today we suggest making only
momentary trades. We also expect that in
intraday, once again good volatility during the
US session on bullion as the jobless numbers are
likely to
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rise. Onto the Ratio side, we advised Gold/Silver
Ratio buying wherein traders might have made
modest profit as per closing. Nevertheless,
those who carried forward could have seen
their gains reversing down as we are seeing the
opposite forces playing in against our view that
silver would underperform gold. We advice
traders holding the ratio to maintain stop
loss with reduced risk exposure. Fresh
positions should be avoided as market lack
clarity at this point Silver followed similar
path as gold with the commodity though it saw
good underperformance as equated to gold,
as also been our view yesterday. Silver comex
Dec contract slumped 1percentage to 17.06 per
ounce while MCX silverwork same months expiry
skid 0.3percentage to Rs 38220 per Kg. Commodity
Intraday Trading Tips Sell Silver Mcx Dec below
39150 SL 39750 Tgt 38500 Sell Natural gas Mcx Oct
below 240 SL 243 Tgt 235