Gold - July 3, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC securities

Gold prices traded steady with international spot gold prices kept the range bound trading near $1773 per ounce on Friday after witnessing a rebound on Thursday.

Gold futures at MCX for August traded down by Rs. 168, falling below Rs. 48000 per 10 gram.

Gold prices witnessed decline from the resistance of $1790 on improved investment sentiments on vaccine hopes. The recent positive data from US and China also pressured gold prices to trade down on economic growth optimism. However, the worries over growing virus cases and tensions over China's national Security Law may keep risk premium high in gold prices. The U.S. Senate has passed sanction measures against Chinese entities involved with enacting and upholding of the law, which is awaiting Presidential approval.

We expect gold prices to trade sideways to down with MCX Gold August support at Rs. 47800, resistance at Rs. 48300.

Source : Equity Bulls

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