Indian gold is likely to extend gains for a fifth straight week and hit another peak this week, helped by hopes of another round of quantitative easing in the United States.
The most-active gold contract on the Multi Commodity Exchange (MCX) was 0.29 percent lower at 31,252 rupees per 10 grams, easing from Saturday's contract high of 31,405 rupees. The contract gained close to 5 percent in the previous four weeks.
"Gold could rise further on the back of Fed enthusiasm," said Gnanasekar Thiagarajan, director with Commtrendz Research.
U.S. Federal Reserve Chairman Ben Bernanke, speaking at an annual central bank conference in the mountain resort of Jackson Hole last week, left the door open for a further easing of monetary policy but gave few hints of imminent action.
Buying is advised on dips at 31,000 rupees for a target of 31,550 rupees, with a stop loss of 30,800 rupees, said Thiagarajan.
Investors will also eye the rupee, which plays an important role in determining the landed cost of the dollar-quoted yellow metal.
Silver may also rise further following the yellow metal. Silver for September delivery on the MCX was 0.19 percent higher at 59,120 rupees per kg.
Buying is also advised in silver at 60,450 for a target of 61,200 rupees, with a stop loss of 60,000, said Thiagarajan.
The most-active gold contract on the Multi Commodity Exchange (MCX) was 0.29 percent lower at 31,252 rupees per 10 grams, easing from Saturday's contract high of 31,405 rupees. The contract gained close to 5 percent in the previous four weeks.
"Gold could rise further on the back of Fed enthusiasm," said Gnanasekar Thiagarajan, director with Commtrendz Research.
U.S. Federal Reserve Chairman Ben Bernanke, speaking at an annual central bank conference in the mountain resort of Jackson Hole last week, left the door open for a further easing of monetary policy but gave few hints of imminent action.
Buying is advised on dips at 31,000 rupees for a target of 31,550 rupees, with a stop loss of 30,800 rupees, said Thiagarajan.
Investors will also eye the rupee, which plays an important role in determining the landed cost of the dollar-quoted yellow metal.
Silver may also rise further following the yellow metal. Silver for September delivery on the MCX was 0.19 percent higher at 59,120 rupees per kg.
Buying is also advised in silver at 60,450 for a target of 61,200 rupees, with a stop loss of 60,000, said Thiagarajan.
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