Gold COMEX trading below $ 1300 and it's poised for a monthly decline as signs that U.S. economic growth is gaining momentum countered haven demand from increased tension in Ukraine and Gaza.The Federal Reserve concludes a two-day meeting on Wednesday, where policy makers are expected to announce reductions to bond purchases for a sixth time, after a report on Tuesday showed consumer confidence rose to an almost seven-year high.
For next week, we can expect COMEX Gold October Futures prices to trade on negative note after Fed two day meeting. Technically COMEX Gold if it sustain below the level of $1280 then it can test the levels of $1260 and $1240 on the lower side. If MCX Gold October futures sustains below 27750, then downside movement can be seen till the levels of 27550 and 27350.
By Vivek Gupta, Director Research, CapitalVia Global Research Ltd.