Gold Price Stability Amid Global Economic Uncertainty

Gold prices have demonstrated remarkable stability in recent days, even as global economic uncertainty begins to wane. Despite the challenges posed by US President Donald Trump’s tariff policies, safe haven assets like gold remain in focus. However, a strengthening dollar has limited gold's upward momentum.

Technical Analysis and Investment Strategy

According to Jateen Trivedi, VP Research Analyst at LKP Securities, gold prices are showing resilience around key support levels. The MCX Gold August Futures are currently trading around ₹97,480, with a cautiously optimistic outlook. Momentum indicators suggest stabilization, making a 'Buy on Dip' strategy near ₹97,350 advisable, with downside risks capped around ₹96,800.

Key Technical Indicators

EMA Alignment Signals Support: The convergence of the 8-period and 21-period EMAs around ₹97,350 provides a solid foundation for potential upward movement.

Bollinger Bands Indicate Consolidation: Current price action within the bands suggests an impending volatility expansion, favoring breakout scenarios.

RSI and MACD Momentum: Neutral RSI readings and emerging bullish divergence in the MACD indicator underscore the viability of the 'Buy on Dip' approach.

Conclusion

The intraday bias for gold remains positive on pullbacks. Investors are encouraged to consider buying near the ₹97,350 mark, with protective stop-losses at ₹96,800. Upside targets for the session could reach ₹97,800 to ₹98,200, contingent on global sentiment and price stability above key EMA levels.

Disclaimer: The opinions expressed herein are those of the analysts and do not reflect the views of The Times of India.