Gold prices are trading with a bearish bias due to escalating Middle East tensions, inflation concerns, and expectations of a continued restrictive US monetary policy. Higher oil prices and a stronger dollar are weighing on bullion, with attention turning to upcoming US economic data.
Gold prices are trading with a bearish bias due to Middle East geopolitical tensions fueling inflation concerns and strengthening expectations of a US Federal Reserve rate hike. Technical indicators suggest a continued downtrend unless key resistance levels are reclaimed.
Gold prices may see limited upside due to persistent high US inflation, according to Manav Modi, Senior Analyst at Motilal Oswal. While a weaker dollar and softer labor data initially boosted gold, inflation above the Fed's 2% target prompts caution on rate cuts.
Gold prices are consolidating after sharp swings, with the current price attempting to stabilize around the mid-band (20 DMA). Technical analysis shows a short-term flag/triangle continuation pattern, with immediate support at Rs 150,500 and resistance at Rs 155,500. A decisive close above Rs 158,000 could resume the broader uptrend, while a break below Rs 148,500 may shift momentum bearish. Market focus this week centers on rate decisions from the Fed, BOJ, and ECB, along with US economic data including consumer confidence, GDP, and inflation.
Gold price prediction today: Gold prices are expected to continue being volatile in the coming days on uncertainty related to the US-Iran war and inflation data this week, says Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial Services Ltd.
