Expert Analysis for Gold and Silver Futures Trading

Monthly Outlook for GOLD: Nirmal BangPrecious metals ended slightly up on Tuesday on COMEX, after getting hit earlier in the session, with currency fundamentals proving the dominant factor as the dollar was hit by concerns about the outcome of FOMC meeting and overall health of the U. S. economy.

Gold futures closed a tad down in the last trading session on MCX. Silver witnessed a rise of 0.80 percent, ending the day at 22297 on MCX.

The world's largest gold-backed exchange-traded fund, the SPDR Gold Trust, said its holdings stood at 1,131.24 tonnes as of June 23, unchanged from the previous business day.

Moody's maintained the triple-A status of the U. S. but said one risk to the U. S.' triple-A rating is if the dollar is challenged as the main reserve currency.

The euro jumped above $1.40 as financial markets awaited the outcome of a U. S. Federal Reserve policy meeting that concludes on Wednesday and a record $104 billion in U. S. debt issuance this week.

The slide in dollar against the euro led to slight upside in Gold prices last day. FOMC meeting will be concluded today and any statement indicating weakness in the economy may result in further slide in dollar. We expect that Gold can move up on the back of risk aversion and fall in dollar. We recommend buying Gold at dips.

Silver may not track Gold during the day. Weakness in industrial metals may hit Silver too. We expect Silver to trade sideways to down during the day.

http://stockwatch.in/trading-strategy-gold-and-silver-futures-commodity-...