Profit-taking was seen in gold prices during this morning’s session as the dollar index maintained above the crucial 102 mark and the US dollar strengthened against the Indian national rupee (INR). The April 2023 gold futures contract on the Multi Commodity Exchange (MCX) started out lower at 59,490 per 10 grammes and quickly rose to an intraday high of 59,546 per 10 grammes. The gold price, however, lost its appeal due to an increase in US dollar rates and fell to the day’s low of 59,405 in early trade.
According to bullion market experts, there is profit-booking pressure in gold prices today as the US dollar showed a respite after hitting a 7-week low on Thursday. He said that gold remained above the level of $ 1,990 an ounce in the morning session and is now in the range of $ 1,980 to 42,010 an ounce. He advised traders to buy at gold price 59,300 level for an intraday target 59,900 on MCX.
Speaking on the reasons for the fall in gold prices today, IIFL Securities Vice President – Research Anuj Gupta said, “After hitting a 7-week low in Thursday’s deals, US dollar is witnessing some relief rally and Dollar index has once again bounced back to psychological levels. 102 points. However, this relief rally in US dollar is limited and it may fall further and break its current support near 100 levels. Hence, gold investors are advised to buy on the downside strategy and avoid taking any shot positions in the present scenario.”
US Dollar to INR
Speaking on INR vs USD, Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas said, “We expect Indian Rupee to trade with slight downside bias on weaker Dollar, Dovish FOMC may favor risk assets. Global Equities Dovish may recover on FOMC as well. May be supportive for domestic currency. However, selling pressure from foreign investors and dollar demand from importers may lead to a sharp rise in the rupee for the month. USDINR SPOT 81.60 to 82.70 It is expected to trade in the range of Rs.
Outlook for Bullion
On gold price outlook, market expert Sugandha Sachdeva said, “The overall trend for gold is positive, but it will be difficult for gold to cross the $2,000 an ounce mark in a hurry, and there will be only one weekly close above it. ” Lead to advance in the precious metal 58,500 per 10 gram mark and then 58,000 per 10 grams.
When asked about the outlook on silver prices, Sugandha Sachdeva said, “Silver prices around $23.5 an ounce are a key constraint. 70,500 per kg and further upside is likely only if this level is broken on weekly closing basis.”
near term strategy
On the suggestion of gold traders, Anuj Gupta of IIFL Securities said, ‘Anyone can buy gold level for an intraday target of 59,300 per 10 grams Retains stop loss at 59,900 59,050 level.”
On silver rate outlook today, Anuj Gupta said, “Silver can be bought at almost For a near term target of Rs 69,800 per kg 71,000 per kg mark. However, one should maintain strict stop loss 69,250 level.”
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of O2help. We advise investors to check with certified experts before taking any Investment Decision.
