MCX Gold contract of August month is trading in the range 29,150 – 29252. The support for mcx gold august is most likely to seen in the range 29,223 which may slip to touch the below level of 29,150 & Resistance is likey to be seen at 29,225 & can touch above level of 29,252. We advocate to short thr MCX Gold August contract at 29280, having stop loss of 29340, & target of 29150.
Since last couple of weeks the luminosity of trading of precious metal gold is decreasing consistently in the bullion market. Traders are expecting that the investors will back out from the gold investment. They are most likely to go for the currency investment.If we see the global trend of the gold has been on decreasing trend then too the gold trend in India could not touch the such low levels. Earlier in 1999 the gold fell for the first time on the global cues. According to the market experts the global economic conditions are quite responsible for this situation.
On other hand the Indian government’s change in the import policy also affected the gold trading in the market. According to official facts the import of precious metal gold decreased by 37% in the first quarter of this current financial year.This condition of gold was not only in the domestic market but the overseas market too.