WEEKLY GOLD TREND FOR WEEK STARTING JULY 16th

Last week, I predicted a choppy week for the Gold Futures,
and the market provided exactly what I was looking for. This week however, I
think may have better potential for a directional play. The reason for this is
due to the fact that last week brought attention to long positions in
commodities and I do not think the Precious Metals saw their fair share of
buying yet.

As Gold Futures probed lower in  last Thursday's trade, it failed to retest
the June low and reversed at a higher price .

This price action now shows an upward trend beginning at the May low prices,
 which should be seen as bullish for the week.

There are no options or futures expirations until next week
in the Metals, so unless the lighter volume environment really comes into play,
I do not suspect that there will be any major swings this week. I would like to
see Gold prices closing above $1600 again this week, and would feel even better
if this week could produce a close above the high price posted on July 2^nd,
around $1620.

Overall, I think that this week may favor the upside in the
Precious Metals as commodities are experiencing an increase in net long
positions. After last week's choppy trade and the Gold Future's failure to
retest chart lows on Thursdays drop, there should be enough reason to scale
into the long side of Gold on pullbacks.

TRADE LEVEL FOR JULY 17th

RESISTENCE #2......................$ 1603
RESISTENCE #1......................$ 1597
PIVOT......................................$ 1587
SUPPORT #1...........................$ 1581
SUPPORT #2...........................$ 1573



MCX

RESISTENCE #2......................INR 29418
RESISTENCE #1......................INR 29350
PIVOT......................................INR 29260
SUPPORT #1...........................INR 29190
SUPPORT #2...........................INR 29100


Happy Trading

Rahul Kumar
Gold Specialist (Spot & Future)

Call me : (+91) 969-0022-884

Join us : http://www.hansrajconsualtant.tk/