Gold ended last week lower on reduced safe-haven buying as investors sought to buy riskier assets such as equities on improving economic outlook. Gold is completing its third consecutive down week at 20069. The close below 20100 is a bearish development, suggesting the metal should trade down to 19600. The overall pattern has formed into a large head and shoulders reversal pattern. Now support for the gold MCX is seen at 20041 and below could see a test of 20014. Resistance is now likely to be seen at 20087, a move above could see prices testing 20106.

Trading Ideas:

Gold trading range is 20014-20106.

Gold ended last week lower on reduced safe-haven buying

Support for the gold is seen at 20000 and resistance at 20120 level.

Spdr gold trust holdings rose by 20.34 tonnes to 1271.77 tonnes.

BUY GOLD FEB ABV 20080 SL 20028 TGT 20120-20156-20170.MCX