Gold recovered its some part of loss on Monday as traders used a recent price retreat as a buying opportunity. Now technically market is trading in the range as RSI for 18days is currently indicating 34.84, where as 50DMA is at 16992 and gold is trading below the same and getting support at 16414 and below could see a test of 16365 level, And resistance is now likely to be seen at 16542, a move above could see prices testing 16621. Spread between Gold FEB & APR contracts yesterday ended at 55, we have seen yesterday that the gold market had traded with a negative node and settled -0.15% down. Spread yesterday traded in the range of 55 - 80.

Trading Ideas:

Gold trading range is 16200-16650.

Gold as per expectation traded weak before Fed meet still holding support at 1074$

Gold is having support at 16422 level and resistance at 16510.

Gold holdings in Zurich Cantonal Bank decreased by 20,255 troy ounces to 4.743 million ounces.

BUY GOLD FEB @ 16450-460 SL 16418 TGT 16480-14500-14535.MCX