Gold - Dec 9, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC Securities

Gold prices traded lower with COMEX spot gold prices were trading over half a percent down near $1860 on Wednesday. Gold December future contract at MCX fell below 49700 to Rs. per 10 grams in line with global cues.

Gold prices traded under pressure on strong equity indices over progress on COVID-19 vaccine approvals and distribution outweighed record U.S. coronavirus hospitalizations. However, announcement of stimulus aid package and weaker dollar may support gold prices to limit downside.

We expect gold prices to trade sideways to down with COMEX gold resistance at $1870, support at $1850. MCX Gold December support lies at Rs. 49400 with resistance at Rs.50000.

Source : Equity Bulls

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