Gold - Mr. Anuj Gupta (DVP-Commodities & Currencies Research, Angel Broking)

"26th April 2020 is an auspicious day on the occasion of Akshaya Tritya and we Indians prefer to buy gold. This year, the entire world is under lockdown, so this year there would be no physical demand for gold in terms of jewelry. Last year around 33 to 35 tons of Gold was sold on the Akshaya Tritya. In last two months, the import of gold in India has plunged more than 73% year on year basis. In the month of March 2020, India just imported 25 tonnes of gold against around 94 tonnes last year. This year we are expecting no physical demand in Gold prices for many reasons like first is lockdown and second is higher gold prices. There are more options available to buy gold like Gold ETFs from an exchange, sovereign gold bond, and coins from the Banks. In 2019 on Akshaya Tritya, gold prices were trading at 31,500 levels and now it is trading around 46,500 levels. It gave almost 47% returns to Gold lovers. The gold trend is still positive on the back of uncertainty and lower global growth forecast.We are expecting safe heaven demand always supports the gold prices. This time Gold is trading on higher levels (recently gold touched the lifetime high of 47,327 levels). Technically we recommend waiting for some correction till 38000 to 40000 to buy gold for the target of 50000 to 52000 in gold prices. In the international market, gold may test $1780 to $1800 levels. Closing above $1800 levels may lead this rally towards $1880 to $1950 levels."

Source : Equity Bulls

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