Analysts say that it is too early to turn bullish on gold after a sell-off of nearly $100 last week. Bhavik Patel, Senior Technical Research Analyst, Tradebulls Securities, told Financial Express Online, that the gold market is struggling to find consistent momentum on the upside after breaking its crucial support of $1760. price action suggests to stay cautious. “We have also seen seven consecutive weeks of outflows from the Gold
Where are MCX gold prices headed?
Tapan Patel said that gold prices are expected to trade sideways to down in the near-term with support at $1690/1650 per ounce. MCX Gold
Bhavik Patel said that currently, no indicator is suggesting a reversal in gold soon, but the yellow metal might get the support from the sell-off around Rs 44,000 per 10 grams on MCX. Patel advised investors to take long positions at this level. While in the short term, he suggests holding long positions with a stop loss of Rs 44,000. For the long term, Patel remains bullish as easy monetary policy, rising inflation expectations and expectations of sizable stimulus factors still remain intact.
According to Ajay Kedia, MCX gold’s support lies in the range of Rs 44,500-44,600 as weakness in the yellow metal prices in India is attracting physical buying.
(The views and investment tips in this story are expressed by the respective experts of research and brokerage firm. Financial Express Online does not bear any responsibility for their advice. Please consult your investment advisor before investing.)