Gold on MCX settled down on profit booking while in international market gold settled at a new record above $1,300 for the second-consecutive session as expectations of more U.S. stimulus money boosted the metal as a perceived dollar and inflation hedge. Expectations have ratcheted up that the Federal Reserve will further ease monetary policy. This so-called quantitative easing is expected to include the purchase of Treasury’s, which would pressure the dollar and boost gold as a hedge against the potential devaluation of the greenback. Now support for the gold MCX is seen at 19081 and below could see a test of 19041. Resistance is now likely to be seen at 19185, a move above could see prices testing 19249.

Trading Ideas:

Gold trading range is 19041-19249.

Gold on MCX settled down on profit booking

Gold looks to take support at 19081 and resistance at 19185.

In spot gold looks to have a support at 1296$ and resistance at 1318$