Gold is losing its shine day by day

Gold rate today in Mumbai

Mumbai 8th Aug 2015(Sana Sayed): Gold bugs haven't had it this bad since the Clinton administration. Bullion just notched its seventh straight week of losses, which is gold's longest weekly losing streak since 1999. And even though gold rose slightly Friday, a trader who relies heavily on the technical believes the breakdown is about to get a lot worse.

"Gold is in a clear downtrend, but we've seen it consolidate of late," Andrew Keene said Friday on CNBC's "Trading Nation." Gold prices have been bouncing in a tight trading range of USD 1,080 on the low end and USD 1,100 on the high end for the past two weeks.

Snapping its four-day losing streak, gold rebounded by surging Rs 190 to Rs 25,170 per 10 grams at the bullion market on Friday, taking positive cues from overseas markets amid fresh buying by jewelers.

Gold in London, which normally sets price trend on the domestic front, rose 0.23 percent to USD 1,092.00 an ounce and silver 0.82 percent to USD 14.77 an ounce in early trade.

In the national capital, gold of 99.9 and 99.5 percent purity recovered sharply by Rs 190 each to Rs 25,170 and Rs 25,020 per ten grams, respectively. It had touched over four-year low yesterday.

Gold rates rest of India

Since hitting a high of USD 1,205.70 in June, gold has tumbled more than 9 percent on the one-two punch of a rising dollar and falling interest rates—two things that make gold less attractive. The continued selling has the options market betting on more losses. "The options market is implying an USD 8 move in either direction by December," said Keene, founder of Keene on the Market. "If the GLD breaks USD 100 I think it's going to get HIT in a heartbeat, and we could see a measured move target down to USD 98."

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