Gold Updates

Gold futures continued their southbound journey for the tenth trading day. This morning MCX February Gold so far has tested a low of Rs 31,062.

It may be recalled, that we have mentioned that Gold is likely to seek considerable support around the Rs 31,000-level.

Select momentum oscillators like the daily Stochastic Slow remains in the oversold zone, while the 14-day RSI is giving a positive divergence.

Even a 50 per cent retracement from the current levels, can give us a target of around Rs 31,750-odd levels in the next couple of trading sessions.

However, one needs to keep a stop around Rs 30,900 for fresh long positions.

In today's outlook, the Gold MCX February futures may face resistance around Rs 31,325-31,365-31,400. On the downside, Gold MCX may seek support around Rs 31,075-31,035-31,000.

The corresponding key levels for Gold Mini January futures are as follows - support at Rs 30,900-30,860-30,820, while face resistance around Rs 31,150-31,185-31,225.