Gold - June 11, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International gold prices are trading marginally above $1,900/ounce level on Friday early afternoon trade in Asia supported by a pullback in the dollar and lower bond yields.

Prices also took support after data showing a rise in U.S. inflation was viewed insufficient to adjust from the current easy monetary policy by the Federal Reserve.

Focus now shifts to Fed's June 15-16 policy meeting which could be a non-event for the markets.

Investors are also looking ahead to the Fed's Jackson Hole symposium scheduled from Aug. 26 to 28.

Technically, LBMA Gold Spot has bounced back from its 21 Daily Moving Average at $1887 levels and is trading on a positive note where breakout above $1900 levels could further take prices to $1908-$1916 levels. Support is at $1892-$1885 levels.

Domestic gold prices are trading marginally higher on Friday early afternoon trade, tracking overseas prices.

Technically, MCX Gold August is trading above 49200 levels and a sustained trade above could push prices further up to 49400-49700 levels. Support is at 49150-49000 levels.

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Source : Equity Bulls

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