CRUDE OIL : Oil futures retreated from the highs, with WTI now hovering just above US$50/bbl mark. Rise in US and OPEC output is dashing hopes of any sustainable recovery in oil prices. Iraqi exports rose slightly in September, while Baker Hughes reported that oil drillers in US added six iol rigs during last week. MCX Crude Oil price has completed retesting of the breakout point and moved back upward which signal that bulls are controlling the move. In addition, price has been trading above 21 EMA on the daily chart. Moreover, daily RSI has moved above the falling trendline which suggests chances of more upsides in the price. For now, we keep our view to bullish on MCX Crude with and expectation of move towards 3470 levels in the few trading session
GOLD : In the daily chart, MCX Gold has given breakout of the rising trend line and sustained below the line, which indicate price will move further down. In addition, RSI has moved from oversold zone and traded below the line , which suggests near term bearishness. Moreover, price has traded below 21 EMA on the daily chart, which confirms price can move further down. Short term trend remains bearish; on the down side price may move towards 29300. Gold struggled around a seven week of US$1,217/oz, weighed down by buoyant US equity markets and stronger US dollar. Expectations of a tax reforms in US has reinforced the reflation trade and effectively calmer environment in Korean Peninsula has also dented the safe haven appetite for the precious pack. Markets also look forward to the prospects pf a rate hike by BOE aand tapering of bond purchases by ECB in next few weeks. Meanwhile, geopolitical headlines failed to offer any support to gold prices, including a grave mass shooting in Las vegas and violence pertient to Catalan referendum
SILVER : In the daily chart, MCX Silver has traded below the rising trend line and shown weakness on the charts. Moreover, price has sustained below 21 EMA on the daily chart, which suggest weakness going forward. In addition, RSI has moved below the trend line, which suggests near term bearishness. Short term trend remains bearish; on the lower end prices may move towards 39000 over the short term.