Gold MCX Tips Today Both Call Hit Rona Mana Hai, Trade With Neal Bhai. Gold witnessed a dramatic turnaround during the early North American session and rallied over $20 in the last hour.
The commodity jumped to fresh daily tops, around the $1860 region, with bulls now looking to build on the momentum beyond a one-week-old descending trend-line resistance.
What is the trend for gold intraday?
The emergence of some heavy selling around the US dollar was seen as one of the key factors that prompted some short-covering around the dollar-denominated commodity. That said, a dramatic positive turnaround in the equity markets could cap any further gains for the safe-haven gold.
Moreover, neutral oscillators on the daily chart and slightly overbought RSI on the 1-hourly chart further warrant some caution for aggressive bullish traders. This makes it prudent to wait for some strong follow-through buying before positioning for any further appreciating move.
Hence, any subsequent positive move is likely to confront stiff resistance near weekly tops, around the $1868-70 supply zone. A sustained move beyond will be seen as a fresh trigger for bullish traders and assist the gold to reclaim the $1900 mark for the first time since January 8.
On the flip side, the $1848-47 region now seems to protect the immediate downside. This is closely followed by support near the $1840 area and weekly swing lows, around the $1830 region. Failure to defend the mentioned levels might turn the gold vulnerable to slide further.
The downward trajectory might then drag the yellow metal back towards challenging monthly lows, around the $1800 mark touched last week.
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