Gold - July 15, 2020 - Mr. Tapan Patel- Senior Analyst (Commodities), HDFC securities

Gold prices extended gains with COMEX spot gold prices traded above $1810 on Wednesday. Gold futures at MCX for August contract were trading marginal down on stronger rupee which appreciated by 27 paisa against the dollar during the day.

Gold prices traded higher on ongoing concerns over rising virus cases while mounting tension between US and China kept risk premium high in the prices. The US President Donald Trump signed legislation to impose sanctions on China in response to its interference with Hong Kong's autonomy. The US President also signed an executive order ending the preferential treatment that Hong Kong has long enjoyed.

We expect gold prices to trade sideways to up with MCX Gold August support at Rs. 49000, resistance at Rs. 49500.

Source : Equity Bulls

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