Gold - Aug 26, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC securities

Gold prices traded weak with COMEX spot gold prices traded fell below $1920 on Wednesday. Gold October future contract at MCX traded steady to Rs. 50940 by noon session.

Gold prices traded weak despite dollar weakness over vaccine hopes and easing worries over US -China trade tensions. Investors were heartened overnight by news that U.S. and Chinese officials reaffirmed their commitment to a trade deal signed in January. However, expectations of further stimulus and rising virus cases may limit down side in gold prices.

We expect gold prices to trade sideways to down with support at $1900 and resistance at $1950. MCX Gold October support at Rs. 50600, resistance lies at Rs. 51200.

Source : Equity Bulls

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