Date: 28/08/13 MCX Gold The rally extends as slope of Upper Band still positive GOLD OCTOBER Traders by chance still long can keep the stop loss at 31686. We have been indicating to broadly hold long position as green color bars are seen in the chart. Parabolic Sar indicates to hold. The slope of the upper band indicates trend to remain up and firm. We had indicated to trade long again yesterday above 32050. The same was crossed and gold rallied to 33824. The red color dot are being seen on the chart along with the green color bar. Prices above the pink color bar. The situation is of high momentum on the upside. The rise was large yesterday therefore expect volatility to happen. The objective will be to move towards 37000 in days to come with volatility. Note, the rise is higher on account of volatility. Traders need to keep that in mind and cannot afford to get stuck up. If Gold trades above the open and 33825 then expect the rise to continue with momentum. Traders can buy if trades above open and 33825 with low of the day stop loss or 33660 whichever is lower at the point of rise above 33825. If Gold trades below open and 33660 then expect intra-day correction to 33153 or below. Weaker opening and correction first to 33153-32483 can be used for buying with a stop loss of 31686. Traders can switch to lower trading denomination of gold to reduce risk. Monthly Chart view The monthly is about to complete and we have got a strongly monthly candle with a breakout above its previous peak of 32464. Expect the rally to continue towards 39000 in due course of time with volatility. Correction during September could be seen to retracement some rise before moving higher as a broad view. The trading and positional view need to be taken based on daily update. Broader monthly perspective is for understanding.
Posted on: Wed, 28 Aug 2013 06:36:46 +0000
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