Key Points
- Gold prices show minor fluctuations, with the MCX opening at ₹63,401 and hitting a high of ₹63,502 per 10 gm.
- COMEX Gold dipped by 0.31%, closing at $2089.3.
- Analysts predict that silver will rise, aiming for ₹73,300 to ₹74,000 per kg.
- Key market influencers include US Fed Chief Jerome Powell’s anticipated hawkish testimony.
- Investment strategy leans towards buying on dips for gold, with strong support at ₹61,800 per 10 gm.
- Analysts foresee volatility and a bullish trend for gold, with a close watch on Powell’s testimony.
The gold market experienced subtle yet significant movements. Opening on the MCX at ₹63,401 per 10 gm, gold nudged a high of ₹63,502 before COMEX reported a slight decline of 0.31%, settling at $2,089.3. These fluctuations mirror the market’s sensitivity to global economic cues and investor sentiment.
Gold’s Pivot: $2,065 to $2,135 Support
For gold investors, understanding support and resistance levels is crucial. Currently, gold finds its first support at $2,065, a pivot from its previous resistance mark. A second cushion lies at $2,050. Resistance was set initially at $2,090, followed by $2,100 and then $2,135, outlining potential thresholds for price movements.
Silver Targets: ₹73,300 to ₹74,000
Silver exhibits a robust base of around ₹70,500 per kg, with momentum building towards an ambitious range of ₹73,300 to ₹74,000. This bullish trend suggests growing interest in silver as a lucrative investment avenue amidst market dynamics.
Strategic Gold Buys at ₹61,800 Support
Jerome Powell’s testimony before the US Congress is keenly awaited, with expectations of a hawkish outlook triggering fresh buying in bonds and the currency market. Furthermore, a recent case of US inflation has buoyed precious metals to significant highs, domestically and internationally, indicating a responsive market to macroeconomic indicators.
Investors are recommended to adopt a strategic “buy-on-dips” approach for the precious metal, notably establishing a solid base at ₹61,800 per 10 gm. Experts expect silver to ascend towards its projected levels, underscoring a positive outlook for precious metals.
Insights: Volatility and Bullish Gold Trends
Analysts have weighed in on the market’s direction. Praveen Singh from Sharekhan by BNP Paribas anticipates volatility in spot gold, driven by crucial US data releases. Anuj Gupta of HDFC Securities shifts focus to Powell’s testimony, while Sugandha Sachdeva from WealthWave Insights notes the potential for intermittent corrections but maintains a bullish stance on precious metals. Deveya Gaglani of Axis Securities reinforces the buy-on-dips strategy, confirming optimism in gold’s trajectory.
