Gold - Dec 8, 2020 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International gold prices extended gains this Tuesday morning and early afternoon trade as mounting COVID-19 cases and fresh restrictions boosted hopes for a U.S. pandemic stimulus package from the United States and central banks around the world.

Prices were also supported amid reports of heightened tensions between the United States and China.

Upside was capped as the U.S. Dollar staged a recovery from 2 ½ year low over the last couple of sessions.

Markets will look ahead to the ECB and Fed monetary policy meetings over the last 1 week.

Technically, LBMA Gold Spot is heading towards its 50-Daily Moving Average which is placed at $1878 levels which could act as resistance where $1848 will hold a strong support to the counter.

Domestic gold prices were trading with modest gains this Tuesday, tracking international prices.

Technically, MCX Gold February has started to trade above 21-Daily Moving Average which is near 49600 levels which will act as immediate support to the counter where 50150-50300 levels will act as resistance.

Disclaimer: The recommendations, if any, made herein are expression of views and/or opinions and should not be deemed or construed to be neither advice for the purpose of purchase or sale of any security, derivatives or any other security through RSL nor any solicitation or offering of any investment /trading opportunity on behalf of the issuer(s) of the respective security(ies) referred to herein. These information / opinions / views are not meant to serve as a professional investment guide for the readers. No action is solicited based upon the information provided herein. Recipients should rely on information/data arising out of their own investigations. Readers are advised to seek independent professional advice and arrive at an informed trading/investment decision before executing any trades or making any investments. While due care has been taken to ensure that the disclosures and opinions given are fair and reasonable, none of the directors, employees, affiliates or representatives of RSL shall be liable for any direct, indirect, special, incidental, consequential, punitive or exemplary damages, including lost profits arising in any way whatsoever from the information / opinions / views contained herein.

Source : Equity Bulls

Keywords