The fall in silver and gold is just profit taking and should be used to go long or invest. Crude oil should crash (on demand fundamentals) but is not even correcting. New investors of precious metals and industrial metals are waiting for correction to invest.
Pension's funds have to give pensions to pensioners. They have increased their portfolio allocation to gold. Silver price will break past $50.00 an ounce once pension funds start investing in silver. A fifteen percent downside risk from here and a over hundred percent return in silver in the next two years for silver.
India's gold ETF demand sees net outflows in June
Gold ETF received a net inflow of Rs 494 crores in June. Gold ETF's received a net inflow of Rs 731 crore and Rs 815 crore in April and May respectively. Our view: There will be a mad rush to invest in gold ETF's in India once gold futures break past Rs.50.000. By Diwali I expect India's gold ETF inflows to be much over 1,000 crore. Only risk to this view is availability of corona virus vaccine in India. Gold will not continuously give an investment return of over twenty five percent every year. A gold SIP (systematic investment plan) or an investment period of two years is needed. Short term investors should invest/trade in gold NSE/MCX gold futures.
COMEX GOLD AUGUST 2020 - current price $1801.40
? Gold needs to trade over $1789-$1795 zone till Thursday to rise to $1852 and $1878.20.
? Sellers will be there if gold trades below $1795 and crash below $1776.60.
? Corrections upto $1748-$1760 zone should be used to invest for August.
MCX GOLD AUGUST 2020 - current price Rs.48925.00
? 48656-49301-49640 is the wider trading range till tomorrow.
? Corrections upto 48656 are the part of the bullish trend.
? Crash or sell off (till Friday) will be there if gold does not break 49472.
? Remain on the sidelines today.
(prices in Indian rupee above)
Disclaimer: Any opinions as to the commentary, market information, and future direction of prices of specific currencies, metals and commodities reflect the views of the individual analyst, In no event shall Insignia Consultants or its employees have any liability for any losses incurred in connection with any decision made, action or inaction taken by any party in reliance upon the information provided in this material; or in any delays, inaccuracies, errors in, or omissions of Information. Nothing in this article is, or should be construed as, investment advice. All analyses used herein are subjective opinions of the author and should not be considered as specific investment advice. Investors/Traders must consider all relevant risk factors including their own personal financial situation before trading. Websitewww.insigniaconsultants.in. Prepared by Chintan Karnani
Disclosure: Insignia consultants or it employees do not have any trading positions on the trading strategies mentioned above. Our clients do have positions on the trading strategies mentioned in the above report.
Insignia Consultants does not have any branches in India.
Insignia Consultants does not have any marketing agents in any city in India.
NOTES TO THE ABOVE REPORT
ALL VIEWS ARE INTRADAY UNLESS OTHERWISE SPECIFIED
Follow us on Twitter @insigniaconsul1
PLEASE NOTE: HOLDS MEANS HOLDS ON DAILY CLOSING BASIS
PLEASE USE APPROPRIATE STOP LOSSES ON INTRA DAY TRADES TO LIMIT LOSSES.
THE TIME GIVEN IN THE REPORT IS THE TIME OF COMPLETION OF REPORT
ALL PRICES/QUOTES IN THIS REPORT ARE IN US DOLLAR UNLESS OTHERWISE SPECIFED.
You can also mail your queries at insigniacommodity@gmail.com
Chat Id: telegram/whatsapp 9311139549
(9:30 am to 9:30 pm Indian time, Monday to Saturday)