Gold price may go down to Rs 46,000 as investors booking profit; see what experts just said

Gold price today corrected by Rs 53 at Multi Commodity Exchange (MCX) and hit Rs 46,505 per 10 gm levels. According to experts, after the ease in US-China tension and global economies opening up after the prolonged lockdown, people are booking profit on their gold holdings and in coming one to two trade sessions, gold may hit Rs 46,000 per 10 gm at MCX - in international market it is expected to touch $1,710 per ounce levels. 

Speaking on the gold price outlook, Anuj Gupta, Deputy Vice President — Commodities and Currencies Research at Angel Broking said, “Yesterday gold prices  corrected by 0.53 per cent from higher levels and touched a low of Rs 46,441 levels. Some profit-booking seems to be happening as expectation of more easing and stimulus packages may be announced by the major economies. However, the recovery in global equity market has curbed gold prices. As such, safe heaven demand for intraday or for next few trade sessions may fade out so we are expecting some more profit booking in Gold prices. Traders can go for sell in Gold prices around Rs 46,700 to 46,800 levels, with the stop loss of Rs 47,100 and for the target of Rs 46,000 levels. In international market gold may test $1,710 soon.”

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However, Amit Sajeja, Associate Vice President at Motilal Oswal is still bullish on gold price and advised people to take a buy position at around Rs 46,000 to Rs 46,200 per 10 gm levels instead of selling at current gold price today. 

Sajeja said that gold is witnessing profit booking as riskier assets like global equities and currencies are gaining. He advised people to keep gold price range of $1,690 to $1,750 per ounce in international market in mind and said, "Gold price in international market is trading around $1,720 per ounce and it may further go down up to $1,710 per ounce. At this levels, it would be a good buy for the target of $1,750 per ounce. At MCX, gold price may further go up to Rs 47,400 per 10 gm once it reaches Rs 45,900 per 10 gm to Rs 46,200 per 10 gm range."