Gold Prices Break Out of Resistance Zone, Eyeing Rs 166,000-168,000
Gold prices have broken out of their previous resistance zone and are trading near fresh highs around Rs 163,000. Manav Modi, Senior Analyst at Motilal Oswal Financial Services Ltd, notes that the sharp correction from July lows has reversed the earlier corrective trend and suggests buyers remain firmly in control.
The move above Rs 157,500-158,000 confirms renewed bullish momentum, and a sustained move above Rs 163,000 could open the door towards Rs 166,000-168,000. On the downside, any correction towards Rs 158,000-160,000 is likely to attract buying interest.
The overall structure indicates strength, with higher highs and higher lows continuing to develop on the daily chart. Investors remain optimistic due to rising concerns over US public finances and growing expectations that policymakers may increasingly intervene in financial markets to manage borrowing costs.