GOLD: (Feb 2012)
Gold February as seen in the weekly chart, found resistance at 29433, fell sharply lower towards 29000, and finally closed lower.
For this week expect MCX gold resistance at 29300-29400. If it would not gain in this week, one can sell the gold at that level. If it goes above 29450, then 29650-29800 can also expected from the counter. However, safe heaven buying to continue on euro zone fears.
Support is now observed at 28980. One can buy around the level and if it does not maintain levels, further below strong support is seen at 28470. Trading consistently below 28500 could trigger a sharp correction initially towards 28250-28150.
SILVER (March 2012)
Silver March as seen in the weekly chart, found resistance at 58000, then fell sharply lower towards 56000, and closed at 57000.
For the next week we expect Silver prices to find resistance at 58350. One should sell the position at that level. If trading consistently above 58400, it can trigger a sharp rally initially towards 59200, then 59850, and then finally towards 60500. For this swing, the 60000 level can be a last point this time. Above that a new trend formation can be noted.
Support is now observed at 56200-56000. Trading below 56000 would give correction initially towards 55650, and then finally towards 55500.
