Technically, he believes the uptrend is likely to continue in precious metals with spot gold surpassing its previous all-time high set in October. Now it has immediate resistance at $2,826 and support at $2775. The MCX gold April future finds support at the 81,850/81,425 levels, while resistance is located at the 83,050/83,300 levels, he added.
Chintan Mehta, the chief executive of Abans Group is sure of the prices crossing the $3,000 mark soon as he believes gold is gaining strong momentum as economic uncertainty and shifting policies drive demand.
With a resilient labour market and inflation expected to ease due to Trump’s push for maximum oil production and continued reduced consumption from China, downward pressure on oil prices is likely to help curb inflation, he added.
Trump’s aggressive tariff plans on multiple economies are accelerating de-dollarisation, with nations shifting away from the dollar toward other asset classes, contributing to its weakening and further supporting gold’s rise.
Central banks continue to accumulate gold as a hedge against global risks, recently adding 53 tonnes and China has resumed purchases in November after a six-month pause, reinforcing strong demand.
“We anticipate gold prices could reach $3,000/ounce in the spot market soon. Though a short-term correction is likely, as key policies and rate cuts are implemented, we expect a renewed rally in the second half, driving gold prices over the $3,000 mark,” he added.