Gold prices traded weak with COMEX spot gold prices were trading 0.40% down to $1741 per ounce on Tuesday. Gold October future contract at MCX were trading 0.22% lower at Rs. 45968 per 10 grams by noon session on rupee depreciation.
Gold prices are stuck in a range on mixed global cues over US FED tapering and China's Evergrande debt crisis. The rise in US bond yields have pressured gold prices to trade weak. The 10 year US Treasury yields rose to 1.53% on Tuesday. Market players are awaiting for testimony from US FED chairman and US treasury secretary Jennet Yellen where comments on economic forecast will be crucial.
We expect gold prices to trade sideways to down with COMEX spot gold resistance at $1760 and support at $1730 per ounce. MCX Gold October support lies at Rs. 45800 and resistance at Rs.46200 per 10 gram.