Gold surge to near record High, Crude prices climb $70bbl as sentiment robust .

Gold may be a great bet at these levels . But people should be aware of the risks of buying bullion – either through an exchange traded fund or directly.

Gold
Gold traded near $975 on Friday as traders eyes on the release of U.S employment data ahead , which will show it really economy is growing out of deep slump. Traders cautious on trading at these level keeping eye on Empoyment data reports , They want to see how the market will react to the data .

The world Largest Gold –backed exchange traded fund holding remained at $1,132.50 tonnes as june 4th. Changes in gold ETF are closely watched by market participant because strong inflow into them could be bullish signal that long term retail investor are entering market .

Physical buying impact out of gold after its surged above $900 . buying could expected if traders feel comfortable at these levels.

Crude oil
Crude oil prices hit almost six months high of 69.60 per barrel on Thursday after data showed a drop in jobless claim , boosting market expectation that economic recovery that revive energy demand. Crude pirces continue to expect trade above $69, recent rally seen in oil prices have been driven by investors ‘ anticipation that recession would be last call.

Trading call for the Day !

Today’s we have seen Gold trading $975 level , it could be consolidation phase which we can expect at these levels, But as major Market participation like ETF holding and other official house has been watched keenly by trader and investor , they will decide morever movement of Gold markets now .

So we keep trading range at $965 – 990 , keep eye on US employment data ahead .

As silver recent rally and it closely $16 level , we expect silver to outpeform from these level .we suggest to hold silver position for the target of $16.8

Crude oil prices we expect to trade above $70 barrel as market sentiment will remain robust which could be anticpiated by retail and investor that seen due to economic recovery news. Closely watch US employement data ahead for energy demand.

Happy Trading !