New Delhi, Nov 12 (UNI) Gold remains on solid technical footing, with upside targets pegged at USD4,368 and USD 4,600 per ounce, while support levels exist around USD 3,890 to 3,510, according to Emkay Wealth Management.
Recently, gold touched USD 4,368 in October before a modest pullback to just under USD 4,000 by month-end, driven by a 1.4 pc appreciation in the US dollar over the past month.
Analysts at Emkay Wealth Management believe that the longer-term trend for gold remains upward, supported by sustained institutional and central bank demand and a weakening dollar environment over the past year.
The geopolitical issues that have persisted in eastern Europe and West Asia have led investors to seek safety in gold. “The US dollar’s 8pc depreciation over the past year has also supported a broad rally in commodities, including precious metals.”
According to Emkay, year-to-date inflows stand at USD65 billion, with nearly USD 20 billion added in the last three months alone. Central banks have been key participants in this trend, diversifying their reserves away from dollar-denominated assets amid mounting global macroeconomic uncertainty.
Emkay Wealth’s analysis suggests gold could continue consolidating near the USD 4,000 mark before attempting another move higher.
The firm’s upside resistance targets of USD 4,368 to 4,600 represent potential breakout points, while downside supports at USD3,890 -3,510 are seen as accumulation zones for long-term investors.
The advisory recommends that investors “hold existing positions and add on dips”, viewing current price corrections as an opportunity rather than a threat.
“Gold’s long-term structure remains intact, supported by continued institutional buying, diversification away from the dollar, and resilient consumer demand,” it said.
Gold likely to surge $4,600 per ounce amid central bank demand, weakening dollar
