Gold commodity Trading market held a ranged trade yesterday wherein this morning too electronic session prices too trade with little movement. Though overall trend still remains down, we understand that the trend is down but the prices trading in oversold territory is probably halting the metal to trade flat while permitting against fresh round of sell off. Also, weaker equities across major economies might have helped gold and silver to trade sideways to marginally positive despite weaker other commodity asset classes. For the day, we hold a cautious bearish outlook on the Gold and recommend selling the commodity from higher levels. EU CPI and US Consumer confidence data would be tracked. Gold Dec prices were largely steady last day as industrial commodities mainly and equities witnessed decent volatility with the Comex yellow metal trading in a small band between $1224 and $1215 per ounce mark before closing higher by 0.3percentage to $1219.  Indian MCX Gold for to be active December contract gained modestly better with the help of Rupee and added 0.45percentage to Rs 26915 per 10 Grams

Global Market View: First day of the week is over and as we start new day, Asian equity markets are trading negative following cues from US markets while the South American equity indices have declined the most. From the global FX front, the USD index remained steady, pound sterling; euro and the Japanese Yen too have declined a tad. We do not understand the exact reason for so much of disparity. We talk about commodities, though gold and silver remained steady but unexpectedly oil and the industrial metals moved up. We may possibly look at the US treasury yield which has fallen to 2.4771percentage may have been a reason for some of the commodities to drive higher whereas for the WTI, refinery outages producing gasoline commodity probably aided the extra bit of gains.

Economic data: HSBC China Manufacturing PMI stood at 50.20, down from prior number of 50.50. India credit policy meeting, retail sales from Germany and EU CPI gauge. US S&P Case-Shriller index, Chicago PMI and Consumer Confidence Index

On a broader perspective, we are holding near similar stand for the commodity as with gold as prices related direction stays same for the two, with gold driving the movement. While we saw modest gains in the two metals yesterday, prices mainly for silver continue to hover in oversold phase. Yesterday too we said, silver has slumped nearly 18percentage in last 11 weeks and trades in oversold phase on weekly scenario. On that note, we are shifting our intraday view towards buying, notwithstanding the subdued or bearish outlook continuing over the short-to-medium-term time frame. Note that, US data on regional PMI and Consumer confidence would be watched other than the EU CPI. In case US data comes very strong, we could see fresh round of weakness building in Bullion complex which is the only risk against our intraday view Silver along with Gold traded in a range manner though performance for December month contract was marginally better to $17.50 per ounce, higher by 0.55percentage Silver MCX for same months expiry locally gained by 0.5percentage with prices ending at Rs 39355 per Kg

 Commodity Trading Tips

Buy Crude Oct mcx above 5820 SL 5775 Tgt 5880

Sell Nickel Sep mcx below 1032 SL 1038 Tgt 1015

Crude oil commodity market trading has the major cues for the WTI last week, the DoE stocks data showed crude supplies falling by 4.27 million barrels, higher than our and markets forecast wherein products too depicted a moderate improvement, especially the gasoline which showed inventories fell by 414,000 barrels. Note that last week’s bullish inventory data from the crude stocks front should not be taken as a trend changer as crude stocks fell due to higher refinery utilization and lower imports to the US.

A report from Platt’s showed total US imports declined 1.244 MBPD to 6.87 MBPD on a week on week comparison. However, positivity could be taken from the fact that gasoline stocks fell whereas its implied demand increased moderately. Earlier we had talked about the internal variables for WTI wherein while prices were largely flattish on a weekly comparison, backwardation between WTI Nov-Dec contract stayed flat around 55-60 cents. However in the past week we have seen increase in prices go along the increase in backwardation which suggests modest increase in immediate demand for WTI. For the day, as per Brent oil price direction is concerned, we are still holding bearish bias while for WTI is concerned, the view for the day may be ranged to moderately positive as on one end the commodity takes negative cues from weaker economy and equity related cues though its inherent strength might continue to aid the optimism, as also seen in the previous week. While the Euro area data is likely to pull the shared currency and may add some pressure on the WTI, we advice buying the same on dips.

Global Market View: Let us start the week with euphoria and trade smart. This morning Asian markets are trading mixed while Hang Seng has fallen out rightly by more than one and half per cent. From the global markets- the USD index is managing to trade strong at 85.68, euro down at $1.2679, British pound steady and the Japanese Yen is managing above 109.40. Over the weekend there has been no major development except that the US and its ally’s strikes over Syrian region continued.

Economic data: We have the euro-zone confidence numbers which are more or less likely to deteriorate. We have German CPI and later today from the US, personal income & spending and the pending home sales number along with Dallas Fed manufacturing index. In commodities, most of them are trading steady this morning while going ahead we may see good movement in the market.

Natural gas commodity market had saw strong gains in the last week though on a broader sense, NG in the US has been trading in a major consolidating range between the $3.75 to $4.10 per MMBTU for past many weeks now. Last week, we saw the commodity took positive developments over weather which may support the same over a couple of days as well. Weather forecasts from the US CPC show below normal temperatures over a central US up till second week of 10th of October which may add some demand however we could see normalized temperatures later which could once again start inflicting the commodity direction from higher levels. For Intraday, we advice traders taking long positions for small targets.

Commodity Intraday Trading Tips

Buy Crude oil Mcx Oct above 5735 SL 5680 TP 5785

Buy Natural gas Mcx Oct above 250 SL 245 TP 255

Mcx Gold Commodity market largely stayed weak yesterday but the pace of loss was meager while this morning it is trading down marginally at$1215 weaker by 0.3percentage at Comex. It looks like the trend may remain bearish for today. Robust US economic data over New Home sales driving good gains in the US equity markets meanwhile Dollar too inched higher. Additional gains in USDX came as Euro slipped on speculation that weakening economic cues would push central bank to add more stimuli. Declining Euro, feeble investment demand and subdued tensions are all likely to pull the gold prices lower in today’s session as well. Also, the Indian rupee is expected to trade modestly higher which should help locally non agri commodities to trade down. We maintain sell stance today. Bullion fell yesterday, taking back their gains made in the earlier half of the week as geo-political issues receded and markets took note rising US Dollar which hit 85 mark Gold Dec Comex fell 0.20percentage to $1218 per ounce where as MCX Gold October slipped at a higher rate by 0.45percentage to Rs26550per 10 Grams.

Global Market View: Today morning, Asian markets are trading on a positive note tracking positive US markets. US new home sales increased by 18percentage against an expectation of4.4percentage. Dollar index has crossed the 85.00 mark yesterday evening after the data and has led to the depreciation of the all the major currencies. Euro is trading on a negative note to the dollar in the morning session at 1.2778, and Pound too is currently trading on a depreciating note at 1.6325. Major

Economic data for today: European Money supply and loads of economic data from the US market.

Mcx Silver commodity market today morning is trading lower by 0.4percentage adding to previous day’s losses and likely that weaker Euro along with lower to subdued trend in base metals would continue to provide weight on the whitish metal today. Volatility may remain high in evening session as we have large number of data points from US today. Yesterday, with the naked sell call we also recommend Gold/Silver ratio wherein traders might be making modest profits. Those who are holding longs can look to book profits in today’s session or look to reduce stop loss in the same position. Silver December too moved in a near similar trend yesterday with the commodity losing along with gold and also didn’t got support from base metals which gained a tad after better New-Home Sales data. Silver Dec Comex fell 0.45percentage while MCX Silver for same month’s expiry closed lower by 0.65percentage to Rs 39265 per Kg.

Commodity Intraday Tips

Sell Gold Mcx Oct below 26580 SL 26700 Tgt 26480

Buy Crude Mcx Oct above 5665 SL 5600 Tgt 5700

Crude commodity market has a Bloomberg survey, crude stockpiles expanded by around 750,000 barrels in the past week to 363 million. Distillate inventories on the other side are seen rising by 500,000 barrels while little changes is seen on the gasoline supplies front. Note that we have been maintaining a bearish bias over inventory data and mainly on Crude stocks as well as refinery utilization front which historically moves into seasonal maintenance during this time of the year. However, if we look at the other similar data from the private sector major API, news reports showed crude inventories dropped by huge 6.5 million barrels last week whereas stockpiles at Cushing rose moderately to 158,000 barrels. Though the same data showed no major demand coming as both gasoline and distillate stocks rose, this surely calls for a case wherein refinery activity might have increased last week. On a cumulative note, data release from the government backed DoE if follows the reading from API, it would be taken positively albeit with a pinch oas we still lack actual consumption. Looking at other international cues, spread between the two major benchmarks WTI and Brent slipped further to $5.10 levels. Looking at developments, Libya once again saw its oil production increasing to 800,000 barrels a day as the Sahara field restarted yesterday, report showed. That could be one of the major reasons behind Brent underperforming WTI in a big way yesterday despite the positivity over geo-political tensions front. We had a bullish view on WTI oil last day which went well wherein for the day we continue to hold modest bullish bias in the commodity. We suggest making momentary trades on the positive side for the day

Global Market View: Tuesday saw stocks falling off the cliff on global growth concerns as French and German flash PMIs came in lower than what market would have liked. The US posted a negative close so Asians are trading mostly mixed to slightly bearish this morning. From the global currency front, the USD index remained steady at 84.64, the shared currency euro is managing at $1.2853 while Yen and the pound sterling revived a slight gain in the morning. Coming to commodities, gold and silver were awfully volatile while they ended the day with marginal change from the previous close and this morning trading at$1223 and $17.73 mostly steady from the previous close. We saw a good recovery in oil prices especially the Tirade while Brent remained down. From the base metals front markets were all down except Nickel.

Natural Gas commodity market the latest developments in the markets, MDA Weather Services said the West Coast through the Midwest and into the Northeast will see above-normal temperatures over the next five days though if we check a separate weather forecasting report from the government we are getting conflicting view. Midday weather update of the government’s Global Forecast System “was a lot more moderate,” showing above-normal temperatures across most of the East Coast and South 11 to 15 days from yesterday, according to from Frontier Weather Inc. This could be one of the reasons behind gains getting faded away for NG and it closing lower. On Stocks front too, initial expectations depict inventories might have increased by 97 BCF, higher than last week data. We hold selling stance in the commodity today

Commodity Trading Tips

Sell Mcx Copper Nov below 415 SL 418 Tgt 412

Buy Mcx Crude above at 5600 SL 5545 Tgt 5650

Mcx Gold commodity market was trading good slide in yesterday trade and likely that weakness would continue today following better equity movement in Asia today. However, note that losses especially in gold might remain minimal today as there are no major economic cues to be watched from the US whereas the Greenback has fallen at a good rate and could provide some support to the yellow metal. There are no major changes seen over physical demand side or either the ETF side though it would not be surprising for us if we see some short-covering post the commodity slipped down to fresh 8 month lows in the week. We maintain selling view for small targets today.

Gold continued its downward spiral during the week with the metal trading lower by almost all of the day before managing modest pullback toward the end of the day.

Gold Comex Dec shut shop by 0.7percentage down to $1227 per ounce while also touched a low near $1215 during the day. Subdued US housing data may have prompted buying interest from lower levels though trend still stays down.

MCX Gold October finished lower by 0.9percentage to Rs 26650 per 10 Grams with Rupee likely to put further pressure today.

Global Market Snapshot: Asian equities trade on a mixed to positive note with Japanese Nikkei scaling higher as it currency tumbled to fresh multi-year lows against the USD. Elsewhere in the US and Europe, equities closed firmly in the green tracking continued set of optimism from FED and notwithstanding the subdued housing and permits number from the US. In the global currency space, US Dollar index slipped towards 84.25 marks, a near 0.5percentage correction as GBP stepped up ahead of anticipated positive the outcome of the Scotland-Independence vote. JPY too tumbled towards a 109 level against USD.

Silver commodity market is held in sell view as yesterday though with higher equities, rising in US Dollar and weaker industrial related data from China and EU too supporting bearishness. Likewise we said yesterday, silver may get extended pressure from losses in industrial metals today and thus on one side we maintain selling stance in both bullion commodities, our preferred pick would be silver over gold. Recommend no trade on Ratio in Intraday. On our weekly Ratio buy call, traders might have made moderate profits yesterday. Recommend holding the same with reduced stop loss whereas may look to book minimum profits today as we enter the weekend.

Silver followed Gold movement though weakness in metals and its high beta pushed the commodity further lower against gold yesterday.

Comex Dec contract closed 1.15percentage higher to $18.51 an ounce while in India we saw Silver same month shutting down by 1.1percentage to Rs 40935 per Kg.

Gold and Silver Comex Spot Ratio: No trade on Ratio in Intraday. On our weekly Ratio buy call, traders might have made moderate profits yesterday. Recommend holding the same with reduced stop loss whereas may look to book minimum profits today as we enter the weekend.

Commodity market tips

Sell Gold mcx Oct below 26770 SL 26900 TP 26550

Sell Silver mcx Dec below 41100 SL  41400 TP 40650

Crude oil commodity trading  held a cautious approach yesterday wherein we advised traders to look for only momentary trades as on one side largely positive equities, cues from PBOC and OPEC supply cut comments were seen adding fresh increase in the commodity though we were expecting some weakness to be held due to negative expectations over inventory data.

As per the commodity stocks report from the DoE, crude inventories gained 3.67 million barrels against markets forecast of a fall in the range of 1.5 million, though we were anticipating as weaker reading. If we look into products gasoline stocks fell at a decent rate though could not provide any major support to prices which closed weaker by 0.5percentageyesterday. Gasoline inventories fell by 1.6 million barrels while distillate stock increased by 279,000 barrels.

As of early Asian trade, we are looking at a weaker WTI and Brent oil prices where both of them down by over 0.5percentage. For the day, weaker expectations over US housing and manufacturing related data, strong gains in US Dollar and dragging effect of the subdued US stocks report would keep the commodity under pressure wherein we recommend selling the same at the NYMEX and MCX commodity markets for small targets.

Global Market View: Dollar is turning out to be the emperor of the currency markets this year with the Index moving to multi-year highs to 84.65 marks after taking positive cues from the FOMC meeting. Euro fell whereas Japanese Yen too slid to multi-year lows. Though the US FOMC meeting outcome looked a bit hawkish at first glance, the FED continued to claim its commitment towards lower levels of interest rates for the foreseeable future and re-iterated its view over labor market wherein the same still need very good improvement over wages growth front. Asian markets are trading on a mixed to positive note following moderate positivity in US equities which closed higher.

Economic data: EU Targeted LTRO Update, US Building Permits, Housing Starts, Philly Fed Manufacturing Index and Weekly Jobless claims data

Natural gas commodity trading market prices continued to track positive short-term developments over warmer weather forecasts in the US West. We held a positive bias yesterday though today have a cautious view as the commodity may see good volatility due stocks report. Early estimates stand for a addition of around 90 BCF, similar a last week though we feel am modest chance for positivism can be there in inventory as US recorded good amount of cooler temperatures lately. For the day, we have a ranged view in the commodity. Still short-term view in the commodity still remains weak.

Commodity Trading Tips

Sell crude Sep mcx below 5755 SL 5810 TP 5680

Sell Silver Dec mcx below 41370 SL 41450 TP 40800