A weaker dollar pushed gold to a higher settlement as market participants found the metal's recent pullback to be a buying opportunity. Gold's pullback has come in part as investors have bought the dollar amid growing confidence in the economic recovery and expectations the Federal Reserve will raise interest rates earlier than expected. Now technically market is trading in the range as RSI for 18days is currently indicating 40.84, where as 50DMA is at 17001 and gold is trading below the same and getting support at 16522 and below could see a test of 16411 level, And resistance is now likely to be seen at 16706, a move above could see prices testing 16779. Spread between Gold FEB & APR contracts yesterday ended at 37, we have seen yesterday that the gold market had traded with a positive node and settled 0.19% up. Spread yesterday traded in the range of 30 - 39.

Trading Ideas:

GOLD TRADING RANGE IS 16350-16850.

GOLD YESTERDAY ENDED UP DUE TO WEAK DOLLAR

GOLD IS HAVING SUPPORT AT 1084$ IN SPOT AND 16580 ON MCX

THE PERU’S NOVEMBER GOLD OUTPUT TOTALED 15,339 KILOGRAMS DOWN BY 3.9%

BUY GOLD @ 16600-16630 SL 16570 TGT 16656-16690-16725-16760. MCX