BULLION OUTLOOK FOR BUDGET DAY 01-FEB-2017

BUY GOLD DEC @ 28650 SL 28500 TGT 28800-29820.

BUY SILVER DEC @ 41500 SL 41000 TGT 42000-42700.

Gold:  Gold trading range for the day is 28249-28697. MCX Gold price has given breakdown of its horizontal channel pattern at 28480 levels on hourly chart and price has retested its breakdown trend line at 28500 levels . On daily chart, MCX Gold price has faced resistance of its breakdown trend line at 28850 levels. Moreover, Momentum Indicator MACD has remained below signal line on hourly chart which suggest lack of momentum in the prices. For now we expect prices should move lower towards 27100 levels in the coming trading sessions.

Outlook: Technically market is getting support at 28386 and below same could see a test of 28249 level, And resistance is now likely to be seen at 28610, a move above could see prices testing 28697

	R2	R1	S1		S2	TREND
GOLD	29000	28700	28500		28100	BULLISH

Silver: Silver trading range for the day is 41107-41757. On hourly chart, MCX Silver price has been trading in falling channel formation. In addition, Silver price have given breakdown of its rising trend line and price have almost retested its breakdown trend line on hourly chart. In addition, momentum indicator RSI has been facing resistance of its horizontal trend line at 65 levels on hourly chart, which indicates possibilities of further downside in the prices. For now we expect prices to move lower towards 40550 levels in few trading sessions.

Outlook:  Technically market is getting support at 41239 and below same could see a test of 41107 level, And resistance is now likely to be seen at 41564, a move above could see prices testing 41757.

	R2	R1	S1		S2	TREND
SILVER	42500	41500	41000		40900	BULLISH