Gold broke a three-day rally to fall till 21921 that is down by -1.04 as pressure from a rebound in the dollar and a broad decline in other commodities, although potential demand growth from China was expected to stem any severe slides. Data from China, a major consumer of silver and the second-largest consumer of gold, showed inflation picked up more than expected in April, while industrial output slowed.
The dollar pared earlier losses and rose against the euro, which came under pressure from mounting worries about how European officials will solve the debt problems of Greece and Portugal. Earlier, gold benefited after data showed high inflation and slowing growth in the world's second-largest economy, which could increase demand for bullion in its capacity as a hedge against rising price pressures.
Now technically market is trading in the range as RSI for 18days is currently indicating 51.33, where as 50DMA is at 21541.84 and gold is trading above the same and getting support at 21755 and below could see a test of 21588 level, And resistance is now likely to be seen at 22184, a move above could see prices testing 22446.
Trading Ideas:
Gold trading range is 21588-22446.
Gold ended weak under pressure from a rebound in the dollar and a broad decline in other commodities
Gold looks to take support at 21755 and resistance at 22184.
Spdr gold trust holdings fell by 0.91 tonnes to 1201.04 tonnes
Silver prices fell sharply again on Wednesday after making modest gains early in the week yesterday we have seen prices dropped by -8.94 to settled down at 53870. The usual suspects for rising precious metals prices, mainly inflation rates and loose monetary policy seem to have had little effect on pricing today. Inflation rates have been rising in many countries worldwide. China saw a 5.4% rise, Germany a higher than expected 2.7%, and the Bank of England predicts that inflation in the UK should hit 5% in 2011.
Holdings of metal in the iShares Silver Trust, rose to a one-week high of 10,585.99 tons by May 10, reflecting some of the bargain-hunting that has taken place since the price hit its lowest in over two months. Now technically market is trading in the range as RSI for 18days is currently indicating 38.08, where as 50DMA is at 60163.18 and silver is trading below the same and getting support at 51601 and below could see a test of 49333 level, And resistance is now likely to be seen at 58057, a move above could see prices testing 62245.
Trading Ideas:
Silver trading range is 49333-62245.
Silver ended lower on weakness in energy and renewed strength in the U.S. dollar
Silver is having resistance at 58057 and support at 51601 level.
Holdings at ishares silver trust fell by 45.51 tonnes to 10540.48 tonnes
Crude Oil fell for the first time in three days and dropped by -3.57 and setteled at 4451 on concern that China will boost interest rates to tame inflation and on signs that U.S. crude supplies are increasing. Crude intially jumped on the news that flooding on the Mississippi River will disrupt U.S.
Trading Ideas:
Crude trading range is 4264-4768.
Crude oil fell after an unexpected jump in gasoline inventories reported by the government
Crude looks to test support at 4357 and resistance is seen at 4609.
China's implied oil demand in April increased 8.8%from year earlier to third highest on record on daily basis
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