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Gold

Gold prices was down by more than 2 percent last month. Gold recovered from 7 month low last week on account of rising geopolitical tension and correction in dollar index. Prices recovered from 49200 up till 52000 level. On weekly chart prices have retraced up till 38.2 percent i.e 52000 of its prior down move from 56500 till 49200 level. In near term 52000 may act as a strong resistance for prices. However on weekly chart it has closed above 60 and 20 days EMA and momentum indicator RSI is above it is reference line which indicate that momentum is strong for prices. We expect prices to trade with a positive bias in a range between 52600 and 51000 level in the month of October. Comex Gold on weekly chart has formed hammer candle stick patten followed by a green candle indicating possible reversal in the counter. If prices is able to sustain above $1700 on weekly chart then it may head northwards towards $1750 level in coming few weeks

BUY GOLD AROUND : 50500CMP: 51400 STOPLOSS: 49,000 TARGET: 52500/53500

Silver

Silver prices snap 5-month losing streak last month on recovery in industrial metals, firm Gold and dollar downtick. Prices rallied more than 6 percent last month and has posted its best monthly gains. As seen from the above chart, prices has given a downward sloping channel breakout on weekly chart by forming a large bullish candle which is a positive sign for prices. Presently price is trading around 61000 level. Moreover on weekly chart prices is trading above 20 and 60 days EMA and RSI is also above its reference line which is a positive sign for prices. As long as 58000 level is intact on the downside we expect prices to trade in a range between 58000 and 63000 level for the month of October. On the flipside Breakdown and weekly close below 58000 may drag will negate the bearish view and prices may drag lower towards 56000 level.

BUY SILVER AROUND: 58,000 CMP: 59,310 STOP LOSS: 56,000 TARGET: 61,000/63,000

Crude Oil

Crude oil declined for fourth consecutive month in a row. Prices cracked by almost 9 percent last month due to demand concerns across the globe and Covid situation in China. Prices rallied more than 16 percent this month as OPEC plus decided to cut 2 million bpd which boosted crude oil prices. On weekly chart prices has given a downward sloping channel breakout by forming a large bullish candle. Presently prices is trading near 7600 level. It is also trading above its important moving average of 60 and 20 days EMA which is a positive sign. We expect prices to test 8100 level in coming few weeks. Nymex Crude oil on the other hand has bounced back from 9 month low after the OPEC plus production cut and it is trading around $93. Momentum indicator RSI is trading above its reference line which indicate that momentum is strong for prices. Immediate resistance is seen around $95 level. Sustain buying above the mentioned level may push prices higher towards $1000 level.

BUY CRUDE OIL AROUND:CMP: 7550 7400 STOP LOSS: 7000 TARGET: 8000/8300

LEAD

Lead opened on a flat note and witnessed extreme volatility last month on either side for most part of the session. On the weekly chart Lead is trading above 20 and 60 weekly EMA's indicating positive bias in the short term. The price is moving in a Higher Top and Higher Bottom formation on the daily chart indicating a sustained up trend. The chart pattern suggests that if Lead crosses and sustains above 184 level it would witness buying which would push the price towards 195-199 levels. Important support for the month is placed at 176. However, if It sustains below 176 then it may witness profit booking which would take the price towards 166-162 on lower levels.

BUY LEAD ABOVE CMP: 182: 184 STOP LOSS BELOW: 176 TARGET: 195/199

Natural Gas

Naturalgas opened on a flat note last month and witnessed selling for most part of the session. The price is trading under ascending broadening wedge pattern in weekly chart which suggests buying reversal from lower band support level. Naturalgas is trading above its 60 weekly EMA which indicates positive bias in the short term. The chart pattern suggests that if Naturalgas crosses and sustains above 575 level it would witness buying which would push the price towards 630-660 levels. Important support for the month is placed at 540. However, if It sustains below 540 then it may witness selling which would drag the price towards 500-480 levels

BUY NATURAL GAS ABOVE CMP: 564 : 575 STOP LOSS BELOW: 540 TARGET: 630/660

Aluminium

Aluminium opened with an upward gap and remained in positive terrain throughout the last month. The daily strength indicator RSI has turned positive from the oversold territory and is above its reference line indicating positive bias. The price is moving in a Higher Top and Higher Bottom formation on the daily chart indicating a sustained up trend. The chart pattern suggests that if Aluminium crosses and sustains above 212 level it would witness buying which would push the price towards 224-230 levels. Important support for the month is placed at 196. However, if It sustains below 196 then it may witness profit booking which would take the price towards 180-176 levels.

BUY AUMINIUM ABOVE CMP: 205: 212 STOP LOSS BELOW: 202 TARGET: 224/230

Copper

Copper prices closed on a negative note last month on account of recessionary concerns and possible economic slowdown due to monetary tightening dampened base metal appeal. On Weekly chart prices made swing low near 600 and its trading around 651 level. Prices recovered last month as LME block new metal from Russia’s UMMC after UK sanctions which supported Base metal prices. On Weekly chart prices is oscillating between 625 and 680 level from past 3 months. We expect prices to trade in the mentioned range as long as the mentioned trading zone is intact. On monthly chat it has formed a spinning top candle last month which will be confirmed by end of October. Sustained buying and weekly close above 680 level will signal a trend reversal for Copper and it may touch 740 level in near future.

SELL AROUND COPPER CMP: 650: 670 STOP LOSS: 700 TARGET: 630/600

Zinc

Zinc prices cracked by more than 12 percent last month. Prices made a multi-month low of 258 after it broke the strong support zone of 280 level. Prices recovered this month after LME metal ban news and presently it is trading around 275 level. On Weekly chart prices has formed a hammer candlestick pattern followed by a green candle which indicate possible reversal from current downtrend. However prices is placed below its important moving average of 20 and 60 week EMA which is a negative sign for prices. Moreover momentum indicator RSI is above its reference line which indicate that momentum is weak for prices. Based on the above technical setup we expect prices to trade in negative to sideways territory in the month of Oct. Buying is recommended only if prices sustains above 295 on weekly closing basis or else it will trade in a range between 295 and 260 level

SELL AROUND ZINC CMP: 283 : 295-300 STOP LOSS: 312 TARGET: 275/260

COTTON

Cotton opened sharply lower with a downward gap and selling pressure throughout the session dragged it lower to close near the month's low. Cotton is trading below its 20, 60, and 100 weekly EMA which indicates negative bias in the short to medium term. Cotton continues to remain in a downtrend in the short term, so selling on rallies continues to be our preferred strategy. The chart pattern suggests that if Cotton breaks and sustains below 30500 level it would witness selling which would drag the price towards 28000-27000 levels. Important resistance for the month is placed at 33000

SELL BELOW COTTON CMP: 33350 : 30500 STOP LOSS : 32500 TARGET: 28000/27000

COTTON SEED OIL

Cotton seed oil opened on a flat note last month and witnessed selling for most part of the session. The weekly strength indicator RSI is moving downwards and is quoting below its reference line indicating negative bias. Cotton seed oil is trading below its 20, 60, and 100 weekly EMA which indicates negative bias in the short to medium term. The chart pattern suggests that if Cotton seed oil breaks and sustains below 2200 level it would witness selling which would drag the price towards 1800-1700 levels. Important resistances for the month is placed at 2500

SELL BELOW COTTON SEED OIL CMP:2420: 2200 STOP LOSS: 2500 TARGET: 1800/1700

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