Gold finished lower in reaction to a stronger U.S. dollar, combined with traders selling to exit positions in which they previously bought in order to book profits ahead of monthly U.S. jobs report. Gold opened at 16880 on MCX. The metal gathered strength on the back of rallying oil prices, touching a high of 16915. However it quickly pulled back from its highs on light selling as the market was very thin. Support was found near 16860 and it traded quietly for the remainder of the session, closing at 16827.Now support for the gold MCX is seen at 16800 and below could see a test of 16712. Resistance is now likely to be seen at 16900, a move above could see prices testing 16972.

Trading Ideas:

Gold trading range is 16550-17050.

Gold finished lower in reaction to a stronger U.S. dollar today’s is heavy data day.

SPDR Gold Trust Holdings fell by 0.37 tonnes and settled at 1123.50 tonnes.

Dollar rose to a 4 month high against the yen on speculation a recovery in the US labor mkt

SELL GOLD FEB BELOW 16800 SL 16856 TGT 16778-16756-16720-16680.MCX