BULLION OUTLOOK FOR 02-03 JAN 2017

"BUY GOLD DEC @ 27550 SL 27450 TGT 27650-27750."

"SELL SILVER DEC @ 39200 SL 39000 TGT 39450-39250."

Gold:  Gold trading range for the day is 27135-27429. On hourly chart, MCX Gold price has given breakout of its rectangle pattern at 27420 levels and price has retested its breakout trend line at 27420 levels. In addition, prices have been trading above its 50 HEMA. Moreover, Momentum Indicator RSI have been hovering around its support zone, which gives the sign of bullishness in the prices. For now we expect prices should move higher towards 27800 levels in the coming trading sessions.

Outlook: Technically market is getting support at 27217 and below same could see a test of 27135 level, And resistance is now likely to be seen at 27364, a move above could see prices testing 27429.

	R2	R1	S1		S2	TREND
GOLD	31000	30650	30500		30000	SIDEWAYS

Silver: Silver trading range for the day is 38882-39796. On 4 hourly chart, MCX Silver price has been trading in its falling wedge pattern and prices have been taking support of its lower band of pattern at 38500 levels. On the other hand, prices COMEX Silver prices have been taking support of its horizontal trend line at $15.85 levels on hourly chart. In addition, momentum indicator MACD has given positive crossover on hourly chart, which indicates strength in the prices. For now we expect prices to move higher towards 40000 levels in few trading sessions.

Outlook:  Technically market is under short covering as market has witnessed drop in open interest by -1.15% to settled at 13463 while prices up 302 rupee, now Silver is getting support at 39151 and below same could see a test of 38882 level, And resistance is now likely to be seen at 39608, a move above could see prices testing 39796.

	R2	R1	S1		S2	TREND
SILVER	39500	39250	39100		39000	SIDEWAYS