Gold price trades weak on october 14 as hawkish federal reserve comments cap gains on bullion silver price
Tracking mild softness internationally, gold prices on the MCX in Monday's trade (October 14) were weak by a marginal. At the last count, MCX Gold futures was down 0.06 per cent or Rs 47 at Rs 76,260 per 10 gm.
Intraday Trading Strategy
– BUY MCX DECEMBER Gold futures at Rs 76200 with a stop loss of Rs 76000 and a price target of Rs 76550.
– BUY MCX DECEMBER Silver futures at Rs 91500 with a stop loss of Rs 90500 and a price target of Rs 93000.
Spot gold internationally up
Spot gold, meanwhile, is up 0.25 per cent at $2,664 per ounce.
Gold price gains capped on hawkish Fed comments
Gold prices are seeing a rangebound trade as Fed officials hawkish comments keep a check on gold upside.
Firmer dollar and downbeat China economic data
Gold prices are on a downtrend as the downbeat Chinese economic data and firmer Greenback weighed on the precious metal.
Bets of an interest rate cut as well as safe haven appeal help maintain gold positive outlook in near term
Though long-term outlook remains bullish for the yellow metal, further rate cut bets as well as rising geo-political uncertainties also weigh on the stock.
Neha Qureshi, Senior Technical & Derivative Analyst, Anand Rathi Commodities & Currencies said, "Looking ahead to next week, gold is expected to trade range bound with support likely around $2,605-2600 range and resistance near $2,685."
While geopolitical tensions could continue to keep downside limited, further U.S. economic data and any escalation in the Middle East could likely provide fresh direction, added the expert.
Gold uptrend to continue if Fed confirms rate cut plan
A more dovish Fed could help push gold higher, but progress may be capped by a strong dollar and ongoing inflation concerns. Overall the outlook remains cautiously positive, with potential for gains if the Federal Reserve confirms its rate cut plan and geopolitical risks persist.