Mcx gold bottoming out target 29300
Mcx gold future this week closed at 27000 with loss. This was seventh week of losses for this bullion commodity and lost almost 4500 rupee in these 7 weeks. This week gold prices traded in range of 400 rupee and closed in red. On daily chart, mcx gold future price trend is down but prices are in oversold area and indicators/ oscillators suggesting bottoming out process. So risky traders can keep buy on dips view for big short covering rally for gold in next week. Mcx gold is consolidating below 27200 support and building base. On downside 26100 is major support and if mcx gold fails to hold 26800 support then expect another sharp selling wave up to 26100. Reversal above 27200 means target of 29300 in medium term. Mcx gold weekly chart, price trend and momentum both are down. Below 27400, mcx gold is correcting towards support of 25930 but here also prices are oversold and might bounce back sharply as this is only correction on long term chart.
Mcx silver fresh breakdown heading for tgt 37100
Mcx silver future this week closed at 38550 with loss. This was third losing week for silver prices and in these 3 weeks lost almost 4500 rupee from its value. Mcx silver future on downside achieved my given target of 39100 and then tried to take support at 39100 but failed and given fresh breakdown in this week. For next week, mcx silver future outlook remain weak and strategy remain sell below 39100 for deep downside target of 37100. Below 37100 on weekly closing basis, mcx silver will enter very bearish territory and will head for 34k to 32k targets. From long term view, mcx silver hit its corrective target of 38550 and if next week closing below 38550 then expect this correction will continue for target 35800 level. Which is long term support. Monthly closing below 35800 means fresh long term bearish trend start for silver prices.