VIEWS & TRADING STRATEGY FOR 24th FEB. 2009

VIEWS ::
MCX Gold April: A consolidation is in progress now. Immediate support is at 15570/15586 levels and a break below should target 15250. Favored view expects 15586/15602 to hold for a break above 15937/15953 and go for 16496.S1: 15845 S2: 15625 R1: 15930 R2: 16040

MCX Silver Mar: A hugely volatile day with support at 22932. Fall below 22915 and a subsequent fall below 22750 to open the way for a correction towards 21450 at least. However, as long as 22932 holds prices could aim for 22992.S1: 23402 S2: 22788 R1: 23847 R2: 24410

MCX Copper February: The big picture price structure looks clearly weak. Fall below 155.3 to drag prices lower towards 150 initially or even lower towards 137.6 levels. S1: 157 S2: 153 R1: 160 R2: 166

MCX Crude Oil March : A bear flag indicates weakness. Break below 1885 to take prices lower towards 1788 or even lower. Any rallies to 1974 or even higher towards 2009 to resist for a down move. S1: 1946 S2: 1898 R1: 1983 R2: 2010

MCX Zinc Feb: - Strong support at 53.90 is seen. Breaching of 53.90 level can take price to 53.05 level.Rallies if any will find resistance at 54.6 and further at 55.0 level. S1: 53.95 S2: 53.35 R1: 54.6 R2: 55.0

MCX Lead Feb: Strong support is seen at 49.80 level. As long as this level holds prices may move up and find resistance at 50.7/51.7 levels.S1: 50.0 S2: 49.3 R1: 50.7 R2: 51.70

MCX Nickel Feb: Up rally beyond 485 may take prices to 497 level.However a break of supports at 468 may take prices to 457 level and negate our bullish view.S1: 468 S2: 457 R1: 486 R2: 497

MCX Natural Gas Feb: - Prices may move below 196 level and find support around 190. Move beyond 204 can only negate this bearish view.S1: 196 S2: 190 R1: 204 R2: 210

TRADING STRATEGY ::
MCX SILVER ::
The trend is up.
Hold your long positions with a stop loss at Rs 22530.
Further buy only on a rise above Rs 23685.
Intra-day traders can wait for a fall below Rs 23383 and when it rises above Rs 23383 then buy with the low below Rs 23383 as the stop loss.
MACD histogram is now in the positive zone. The 14 day RSI is moving up and now above the 70 mark.
Open interest witnessed significant rise with the rise in price indicating fresh long positions build up.
Resistance is seen at Rs 23700 – Rs 24198.

MCX GOLD ::
The trend is up.
Hold your long positions with a stop loss at Rs 15550.
Further buy only on a rise above Rs 15930.
Intra-day traders can wait for a fall below Rs 15796 and when it rises above Rs 15796 then buy with the low below Rs 15796 as the stop loss.
MACD histogram is in the positive zone. The 14 day RSI is moving up and now above the 70 mark.
Open interest witnessed significant rise with the rise in price indicating fresh long positions build up.
Resistance is seen at Rs 16021 – Rs 16155.

COMEX SILVER ::
The channeled rise continues.
Support will be at 14.09$-13.85$.
A fall and close below 13.85$ can bring about a slide down for a correction.
Use rise to take profit at current price or on rise to resistance 14.67$-14.92$ as the opportunity arises.

COMEX GOLD ::
Gold likely to face resistance now at higher range therefore, it can move sideways or exhibit a minor correction.
Support range will be at 975$-970$.
Resistance range will be at 992$-1006$.
Use rise to take profit as the opportunity arises