Tue, Jul 21 11:31 AM
India gold futures were flat on Tuesday after gaining about 1 percent in three sessions, when a weak dollar and rising crude oil spurred buying, analysts said. The most-active August contract was up 0.10 percent at 14,865 rupees per 10 grams at 11:17 a.m.. "Gold seems to be stressed out now and we are now seeing tired bull liquidation, which will relieve itself of the overbought conditions, but the underlying trend continues to be bullish," said Pradeep Unni, a senior research analyst with Richcomm Global Services. "Any dips must be utilized as buying oppurtunities," said Unni. High crude and a weak dollar, which drives gold prices higher suggest that the underlying strength in the yellow metal may sustain for a few days, analysts said. "There might be a slight correction initially, but gold might bounce back on inflationary pressures overseas," said Gnanasekar Thiagarajan, director, Commtrendz Research. "14,760-14,770 rupees should hold on the downside," added Thiagarajan. Open interest for August gold on MCX was at 13,341 lots, down from 13,408 a day earlier. Volume on Monday was 30.74 kg.
No comments:
Post a Comment