Gold Predicts 6-8% Correction Before Rallying to $5,500
Gold prices may experience a correction of up to 8% in the near term before resuming its rally towards USD 5,500 over the next 12-15 months according to Motilal Oswal Financial Services Ltd. (MOFSL) report.
The brokerage house highlighted that geopolitical conflicts no longer automatically translate into gains for gold and recommended a staggered accumulation strategy for long-term investors.
In its H1 2026 Precious Metals Outlook, MOFSL noted that 'gold could witness a correction of 6-8% from current levels before targeting USD 4,800 (Rs 4,56,564.24), followed by USD 5,500+ (Rs 5,23,146.53) over a 12-15 month horizon.'
On the domestic front, assuming USD/INR at 95.5, MOFSL identifies accumulation levels between Rs 1,33,000-Rs 1,30,000, with medium-term targets of Rs 1,68,000 followed by Rs 1,93,000.