Gold - Feb 4, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International gold prices are trading weaker this Thursday morning and early afternoon trade in Asia as investors awaited the passage of a massive stimulus package in the United States.

The U.S. Dollar is trading higher this Thursday morning and early afternoon trade and weighed on the markets.

The House approved the $1.9 trillion coronavirus relief bill without Republicans. Now it moves to the Senate, where disagreements exist, but investors hope that the $1.9 trillion package is passed.

The Bank of England on Thursday will hand down its policy decision later in the day. Investors will look for clues on the likelihood of the central bank introducing negative interest rates.

Investors also await the U.S. payrolls report for January, including non-farm payrolls, which will be released on Friday.

Technically, LBMA Gold Spot is trading on a negative note below $1825 levels but holds a support near $1817-$1805 levels. Resistance is at $1830-$1836 levels.

Domestic gold prices are trading weaker this Thursday morning and early afternoon trade, tracking weak overseas prices.

Technically, MCX Gold April is trading on a negative note and below 47500 could see further downside fall upto 47300-47000 levels. Resistance is at 47950-48200 levels.

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Source : Equity Bulls

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