Gold - Aug 25, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC securities

Gold prices traded steady with COMEX spot gold prices traded near $1930 on Tuesday. Gold October future contract at MCX traded marginally down to Rs. 51221 by noon session. The spot rupee ended 5 paisa lower against the dollar for the day witnessing correction.

Bullion prices regained momentum on the weaker dollar and increased worries over COVID-19 crisis. The warning from WHO over low quality COVID-19 treatment and sign of COVID-19 re-infection in Hong Kong boosted safe haven buying on Tuesday.

We expect gold prices to trade sideways to down with support at $1900 and resistance at $1950. MCX Gold October support at Rs. 50900, resistance lies at Rs. 51800.

Source : Equity Bulls

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