Gold price (September 6): Gold price trades higher ahead of festivities; MCX Gold near Rs 72,000/10 gm
Gold price (September 6): Gold prices on Friday traded with mild gains as investors await the crucial August non-farm payrolls data due to be released in the US later today.
Gold price on the COMEX
Silver rate
Data released on Thursday result in speculations of a 50bps rate cut
Recession fears curbed by the latest services activity
Resilient economic state weighs on dollar index and treasury yielld
Gold price outlook
Figures of the ADP National Employment Change showed that private companies hired fewer people than expected with downwardly revised July figures.
However other data showed mixed trend with Initial Jobless Claims for the week ending August 31 showing improvement while ISM Services Purchasing Managers Index (PMI), a measure of business activity, improved. Although jobs market show signs of cooling today’s US Non-farm payrolls growth may remain crucial as could lead to volatility in prices in day trade today.
Trading strategy in gold/silver
Neha Qureshi, Senior Technical & Derivative Analyst, Anand Rathi Commodities & Currencies suggested a buy on dips for Gold October futures at around Rs 71,900 for a target of Rs 72,400, keeping a stop loss of Rs 71,500. While for Silver (MCX), the buy on dips is advised at around Rs 85,000 for a target of Rs 87,000 with a stop loss of Rs 84,000.