Gold

Comex Gold price firing continuously as looming risk due to trade war between US & China. China finally threatened US that it may or may not control or completely stop rare earth exports. If China finally take this measure then trade war could get ugly as most of major industries depends on rare earth metals. Even US army would be vulnerable.

1/2 fighter planes in US need repair once they touch down after a flight. Rare metals are major element to repair those jets. US is not showing any soften tone and President Trump even threaten Mexico to impose tariffs from june. Mexico tariff will start from 5% and it could go upto 25% if they dont stop illegal immigrants .

President Trump seems have only one option to handle all situations. It seems US can just slap tariffs and sanctions and nothing else. This way US is just isolating itself. Bullying your allies would not help US in long term.

Last week US removed India from preferred nation list. This is just one bold and bad step. Not even a kid would try to bully India when you are in trade war with China. Whole world knows if you dont solve your problem with China then many manufacturers have to shift their production line and India is no. 2 .

Dow Jones tanked more than 2000 points from its peak due to misadventure of Trump. DJIA bleeding continuously and may bleed more if US, China dont find solution and fast. Dollar Index is also in decline which is supporting precious metals prices.

Currently gold price trading almost at highest point of today 1313$. Good support in this precious metal stands at 1302$. If comex gold break and sustain below 1302$. Then expect good pressure till 1295$- 1288$ today.

Resistance in xauusd chart stands at 1319$. If traders break and sustain above 1319$. Then expect good rise in xauusd price till 1327$- 1338$.

Conclusion: Comex Gold trend is positive for now. Avoid selling and look to buy in dips.

For Mcx intraday levels watch my youtube video here

By marafat