Ever since the news on Covid vaccine made headlines, the yellow metal’s appeal as a safe haven has diminished. With an increase in risk appetite, investors and institutions are opting for riskier assets like equity markets, hoping for a faster economic rebound.
With prices trading around $1,850 per troy ounce at Comex and Rs 49,000 per 10 gram in India, gold still looks like a decent medium to long term buying opportunity for investors who missed the rally earlier. The accommodative stance of central banks and the estimated time to be taken for the recovery of the global economy keeps the future prospects of gold firm as a safe haven. It is also a good opportunity for investors seeking diversification through gold, considering their low prices when compared with August 2020 all-time highs.
I recommend a positional bullish view with a buy call around 1790-1810 targeting 2100-2300 in the coming six months.
Good Luck
With prices trading around $1,850 per troy ounce at Comex and Rs 49,000 per 10 gram in India, gold still looks like a decent medium to long term buying opportunity for investors who missed the rally earlier. The accommodative stance of central banks and the estimated time to be taken for the recovery of the global economy keeps the future prospects of gold firm as a safe haven. It is also a good opportunity for investors seeking diversification through gold, considering their low prices when compared with August 2020 all-time highs.
I recommend a positional bullish view with a buy call around 1790-1810 targeting 2100-2300 in the coming six months.
Good Luck