Gold - May 4, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International gold prices are trading weaker on Tuesday afternoon trade in Asia as the dollar strengthened and investors digested U.S. Federal Reserve Chairman Jerome Powell's optimistic comments on the economy.

Powell said on Monday that the U.S. economy is gradually recovering from the COVID-19, but warned that it is not out of the woods yet.

Investors also await the Bank of England policy decision this week.

Investors also await other data that will be released later in the week including U.S. trade balance and the April U.S. employment report, including non-farm payrolls.

Technically, LBMA Gold Spot resistances are at $1797 and $1818. Supports are at $1783 and $1776.

Domestic gold prices are trading weaker on Tuesday afternoon trade, tracking overseas prices and marginally stronger Rupee.

Technically, MCX Gold June has given a breakout above 47000 levels where further could see 47250-47500 levels. Support is at 47150-47000 levels.

Strategy for Gold June for the strategy for the rest of the session will be buying at 47100 with a stoploss at 47000 and a target at 47400.

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Source : Equity Bulls

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