VIEWS FOR 8TH JULY 2009

MCX Silver September: Prices seem extremely oversold , downside limited. Break below 21472 to take prices to support levels at 21241- 21158. Favored view expects supports to hold dips for a rally higher.S1: 21630 S2: 21460 R1: 21980 R2: 22250

MCX Copper August : After failing to cross 249 has once again got into the bearish mode. Rallies to 243-244 can be sold for a fall towards 235 - 233 levels.Only rise above 249.50 to dent the bearish view .S1: 237 S2: 234 R1: 244 R2: 247.5

MCX Crude Oil July : Indicators point prices are extremely oversold. Important support at 3043 followed by 2996.Ideally, a turn can be expected from one of these levels targeting 3200- 3230.Fall below 2995 to raise doubt about the view. S1: 3040 S2: 3000 R1: 3130 R2: 3175

MCX Lead July : Rallies to 80.80/81.20 likely to find resistance for a move lower towards 78.50 levels. Only a rise above 83.20 to negate this bearish view S1: 79.60 S2: 78.50 R1: 81.60 R2: 82.60

MCX Zinc July: Rallies to 75.60/75.80 likely to find resistance for a move ower towards 73.50 levels. Only a rise above 77.15 to negate this bearish view.S1: 74.5 S2: 73.40 R1: 76.3 R2: 77.2

MCX Nickel July : Rallies to 770/775 likely to find resistance for a move lower towards 740/735 levels. Only a rise above 783 to negate this bearish view. S1:750 S2:736 R1: 775 R2: 789

MCX Natural Gas July : Rallies to 174/178 likely to find resistance for a move lower towards 165 levels. Only a rise above 182 to negate this bearish view .S1: 165 S2: 162 R1: 173 R2: 176

TRADING STRATEGY ::

GOLD MCX AUGUST ::

Expect a rise towards 14651-14698.
The earlier converging lines which we have been indicating were modified now. New trend line are being displayed now.
Expect the pink color trend line to be tested.
Corrective dip to 14573-14526 can be used for buying with a stop loss of 14495. Take profit on rise to L3-L4 levels as the opportunity arises.

SILVER MCX SEPTEMBER ::

Cover short positions at 21687-21495 range as the opportunity arises.
Traders holding short positions can maintain a stop loss of 21975.
Higher range of 22104 can be tested on sustained rise above 21975 during the day.

INTERNATIONAL SPOT GOLD ::

Support is at 920$.
Sell on fall below 920$.
Resistance will be at 931$-934$.
Traders holding short positions can maintain a stop loss of 934$.
A sideways movement is being witnessed.

INTERNATIONAL SPOT SILVER ::

Sell on fall and close below 13$ with high of the day stop loss or 13.34$ whichever is higher at the point of breakdown.
Expect lower range of 12.54$ to be tested in days to come.
A breakout and close above 13.35$ will also mean a trend line breakout from the blue color trend line. If that happens then expect a pullback rise for near term.

NYMEX LIGHT CRUDE OIL ::

A breakdown was indicated in our previous update.
A correction down towards 38.2% is likely to be tested in days to come which is around 58$.
Traders who are holding short positions can maintain a stop loss of 65$ to hold short positions.


SPECIAL REPORT ON COMEX HG HIGH GRADE COPPER AS ON 8TH OF JULY ::
HG COMEX COPPER:- The wave structure of the rise from 72$(2001) to 404$(2006) shows a 5 wave increase and then a corrective irregular flat pattern move down to 125$(2008).
A pullback rise has been witnessed from 125$ to 245$.
Support will be at 211$.
A fall and close below 211$ will begin its down movement in form of Wave C.
Wave B of correction could get terminated at current level or on rise to 265$-297$.

The second alternate combination suggest that one rising cycle and a correction complete as shown in the below chart.
A new up move has begun and will can be confirmed above 297$.
Any correction now will create a higher bottom against 125$ and make way further up.
Correction down to 196$, 180$ and 171$ will be opportunity for accumulation as higher bottom is expect to cross 297$ and make new high.
Conclusion :-
The situation at this point is not completely clear where the price direction will take course further.
A dual strategy can be adopted based on respective positions.
Traders who are long can keep a stop loss of 211$ and look for rise to exit and take profit 265$-297$ range.
In the same trade traders can go short on fall below 211$ with high as stop loss or the immediate near term peak of 246$ whichever is higher at the point of breakdown.