MTECHTIPS

MTECHTIPS:-Dollar strength weakens Gold as S&P hints India downgrade chance

With concerns over Eurozone mounting, dollar strengthened against Euro dragging the bullion down along with it. The Indian markets too followed a similar trend as rupee weakened against dollar and gold exhibiting a flat trend.The currency opened lower at 53.10 against the dollar.“December gold on the MCX is having good support at Rs 31360 and resistance at Rs 51520. Traders are advised to take a long position in gold for an intra-day session above Rs 31520 with stop loss of Rs 31450 for the target near Rs 31620” said Ankush Kumar Jain, Manager-Research(metals-energy), Commodity Online.On charts Silver also looks positive for the intra-day session.Silver December contract on the MCX is having good support at Rs 61700 and resistance at Rs 62500 for an intra-day session. Traders may take a long position around Rs 62000 with stop loss of RS 61700 for target near Rs 62400.” Ankush continued.