MCX Gold and Silver ease on profit booking, Crude oil slips below 21 EMA; check today’s trade setup

Market recap (as of 6:00 pm)

• Gold 3 Oct Futures: ₹1,06,235/ 10 gram (▼ 0.8%)
• Silver 5 Dec Futures: ₹1,24,550/ 1 kg (▼ 1.0%)
• Crude Oil 19 Aug Futures: ₹5,567/ 1 BBL (▼ 1.1%)

Technical view

After a sharp rally of eleven sessions, gold prices witnessed profit-taking and slipped 0.6%. It started Thursday's session negatively and is forming a pause candle on the daily chart. Traders looking for new long opportunities should monitor the price action around the ₹105,800 zone. Unless it closes below this immediate support zone, the trend may remain positive. Conversely, closing below this level would be the first sign of a pullback.

Silver also came under profit-booking and is consolidating within the range of previous two sessions. After crossing the psychologically crucial ₹1,26,000, the precious metal came under profit booking and is consolidating within the range of ₹1,26,000 and ₹1,23,000. For short-term clues, traders can monitor this range. A breakout or a breakdown of this range will provide further directional clues.

Crude oil extended the weakness for the second consecutive day and is trading below the crucial support zone of 21-day and 50-day exponential moving averages. It formed a bearish candle on the daily chart, engulfing the low of previous two sessions. However, as highlighted in our previous blogs, the broader trend of the crude remains range-bound between ₹6,000 and ₹5,300. Unless it breaks this range, the trend may remain sideways.

Disclaimer:

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