Gold Price Outlook: Know where yellow metal is headed till Diwali; this is what buyers should do
Gold sale has seen an uptick as MCX Gold futures are trading around Rs 51500 while silver also trading with a slight upward momentum. MCX Silver futures trading around Rs 68300. But what is the target price of gold by Diwali?
Gold sale has seen an uptick as MCX Gold futures are trading around Rs 51500 while silver also trading with a slight upward momentum. MCX Silver futures trading around Rs 68300. But what is the target price of gold by Diwali?
Zee Business conducted a poll of 15 experts to know where the gold price is headed by Diwali and there was a unanimous view among all the experts that the prices will move north. The poll also suggests that the price would rise by at least Rs 2500-Rs 3000.
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Surendra Mehta, Secretary at India Bullion and Jewellers Association Ltd (IBJA) said that after a Fed meeting in the US, there appears no change in the fundamentals for gold.
Though it is being said that the vaccine would come by November, its announcement appears to have political motivations, he added. There is no doubt that gold price will only go up from here, Mehta further said.
As for the Indian price, there is strength in INR against the US dollar. He expects the price to reach around Rs 54500 by Diwali.
Ravindra Rao of Kotak Securities said that there is a strong support of Rs 50500 and if the price comes at Rs 50800-Rs 51000, it will be a good level to buy MCX Gold Futures. He has given a target price of Rs 55000. He keeps a long view on this.
Mehta said that the gold price still has the window for a Rs 1000 correction.
There is no downside in gold till Rs 49500, Jatin Trivedi of LKP Securities said advising investors to retain long positions. There is a small resistance around Rs 52400. Traders should not buy at this level instead book profits. There will be enough opportunities to enter markets.
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For intraday trade, Navneet Damani of Motilal Oswal said that he recommended a Sell call because of negative bias. He said that MCX gold futures could be sold at Rs 51550 with a stop loss Rs 51750. He puts the target price at Rs 51170.
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