Gold - Nov 25, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC Securities

Gold prices traded higher with COMEX spot gold prices recovered to $1812 on Wednesday. Gold December future contract at MCX were trading up to Rs. 48760 per 10 grams in line with firm global gold prices.

Gold prices pared some previous loses as investors weighed the vaccine progress and stimulus hopes as President elect Joe Biden started White House transition. Earlier, Gold prices were trading under pressure after US officials said that they plan to release 6.4 million COVID-19 vaccine doses nationwide in an initial distribution. The investors liquidate their holdings in gold with SPDR gold ETF holdings declined to 1200 tonnes from 1220 tonnes.

We expect gold prices to trade sideways to up with COMEX gold resistance at $1820, support at $1800. MCX Gold December support lies at Rs. 48400 with resistance at Rs.49200.

Source : Equity Bulls

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