Daijiworld Media Network - Mumbai
Mumbai, Sep 19: Gold prices are showing signs of improved technical momentum today, prompting experts to suggest a buy-on-dips strategy for investors.
According to Jateen Trivedi, VP Research Analyst – Commodity & Currency, LKP Securities, gold futures on MCX traded around Rs 1,09,340 in early sessions, stabilizing after recent volatility as traders await cues from the U.S. Fed on September’s rate cut trajectory.
Key Technical Insights:
• Moving Averages (EMA 8 & 21): EMA 8 is attempting a bullish crossover over EMA 21, signaling a potential recovery. Prices must hold above Rs 1,09,000 to sustain upward momentum.
• Bollinger Bands: Gold is trading near the mid-band after bouncing from the lower band, indicating dip-buying opportunities. Upper band resistance lies near Rs 1,10,250.
• Pivot Points: Support at Rs 1,09,000–Rs 1,08,650 and resistance at Rs 1,09,950–Rs 1,10,200. Holding above support strengthens the bullish bias.
• RSI & MACD: RSI at 57 reflects room for further upside; MACD is close to turning positive.
• ADX: Moderate trend strength indicates consolidation with a bullish tilt if prices stay above support.
Recommended Trading Strategy:
• Entry Zone: Rs 1,09,000 – Rs 1,09,050
• Stop-Loss: Rs 1,08,650
• Target: Rs 1,10,200
• Bias: Bullish above Rs 1,09,000; weakness only below Rs 1,08,650
Conclusion: Technical indicators suggest improving momentum for gold, making it an attractive opportunity for dip-buying near Rs 1,09,000, with potential to rise toward Rs 1,10,200.