🟡 1. Current Gold Price Snapshot
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MCX June Futures: Opened at ₹92,965 per 10 grams on May 20, down ₹332 or 0.36% from the previous close.
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Silver July Futures: Trading at ₹95,172 per kilogram, a decrease of ₹281 or 0.29%.(@EconomicTimes)
📉 2. Recent Price Trends
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Peak and Decline: Gold prices have fallen about 7% from their peak of ₹99,358 per 10 grams on April 22.
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Technical Indicators: The metal is at risk of closing below its 50-day moving average for the first time since December, indicating a potential bearish trend.(The Times of India)
📊 3. Technical Analysis
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Resistance and Support Levels:
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Resistance: ₹95,000 per 10 grams.
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Support: ₹91,000 per 10 grams.
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Outlook: Analysts suggest that prices could potentially drop to ₹88,000 per 10 grams, raising questions for investors about whether to buy during these dips. (@EconomicTimes, India TV News, @EconomicTimes)
🌍 4. Global Influences
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Geopolitical Tensions: Ongoing US-China trade tensions and Moody's recent downgrade of the US credit rating have added to market uncertainty.
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US Fiscal Policy: Billionaire investor David Einhorn attributes gold's upward trajectory to eroding confidence in U.S. fiscal and monetary policy, rather than inflation. (The Times of India, Business Insider)
🧠 5. Expert Opinions
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Motilal Oswal Financial Services: Reports a 25% gain in gold prices in 2025, attributing the rally to heightened geopolitical risks and a surge in safe-haven demand.
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Anuj Gupta, HDFC Securities: Suggests that during Trump's second tenure, the stock market may face challenges due to geopolitical tensions, potentially making gold a more attractive investment. (The Tribune, mint)
💡 6. Investment Strategies
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Short-Term Investors: Advised to exercise caution due to potential volatility and the risk of further price declines.
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Long-Term Investors: May view potential dips as opportunities to accumulate assets at lower costs, given gold's traditional status as a safe-haven asset. (@EconomicTimes, The Times of India)
🗓️ 7. Weekly Forecast
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Price Predictions:
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24 Carat Gold: Expected to range between ₹9,261 and ₹9,654 per gram over the next week.
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22 Carat Gold: Projected to fluctuate between ₹8,489 and ₹8,850 per gram. (Best Stock Broker)
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📌 8. Conclusion
The gold market is currently influenced by a complex interplay of domestic and international factors, including technical indicators, geopolitical tensions, and investor sentiment. While short-term volatility presents challenges, long-term prospects remain robust due to gold's enduring appeal as a safe-haven asset. Investors are advised to stay informed and consider their risk tolerance when making investment decisions.