Gold Price Outlook: June 13, 2025
Gold Prices Rise Due to Global Tensions
Gold price outlook: The ₹99,000 level is a strong support zone for buying in this positive market. (AI image)
Gold prices have gone up a lot. The MCX Gold August 2025 contract started at ₹100,300. This is a big jump of over 1,800 points from before. The rise comes after tensions between Israel and Iran. Also, the dollar is weak at $98, making gold more attractive.
While the sudden rise offers quick profit chances, experienced traders are looking for good buy-on-dips entries. Here’s an analysis from Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities:
Market Changes After the Sudden Rise
- Previous Close: ₹98,400
- Gap Up Opening: ₹100,300 (+1,800 points)
The big jump has changed the market:
- Price has gone above all previous resistance levels.
- Moving averages are now acting as support.
- RSI shows strong momentum but is in overbought territory.
- MACD shows a big positive momentum.
Key Market Changes During the Day
- EMA 8: ₹99,500 (now strong support)
- EMA 21: ₹98,800 (main support zone for buying on dips)
- RSI (14): 84.72 (high but trending higher)
- MACD: Big positive change with histogram at 84.74
- Bollinger Bands: Price is trading well above the upper band, showing strong momentum
Main Strategy: Buy Gold on Dips Near ₹99,000
The ₹99,000 level is a strong support zone for buying in this positive market. This level offers many good factors:
- EMA 21 Support: The 21-period moving average at ₹99,000 provides strong support.
- Psychological Level: A round number that people notice.
- Gap Fill Protection: Enough distance from the gap opening to avoid immediate fill.
- Volume Profile: High volume acceptance above ₹99,000 in past sessions.
- Fibonacci Support: 50% retracement of the recent rise from ₹97,500 to current levels.
How to Enter the Market
- Main Buy Zone: ₹98,900-99,100
- Best Entry: ₹99,000
- Stop Loss: ₹98,600 (below EMA 21 with a little extra)
- Target 1: ₹100,000
- Target 2: ₹100,500 (a level that people notice)
Risk and Reward
- Most Risk: 400 points (from ₹99,000 to ₹98,600)
- Least Reward: 1,000 points (to ₹100,500)
- Risk-Reward Ratio: 1:3 (Very good for momentum trades)
Managing Stop Loss
- First Stop: ₹98,600 (be strict)
- Trailing Stop: Move to break-even after reaching half of Target 1
- Profit Protection: Secure 75% of profits at Target 2
Conclusion
The sudden rise in gold has changed the strategy from selling at resistance to buying at support. The ₹99,000 level offers a great risk-reward chance for traders looking to benefit from this momentum breakout.
The market setup strongly favors buyers on any weakness, with many factors supporting the ₹99,000 zone. Traders should be patient, wait for the market to come to them, and execute the strategy carefully when the chance comes.
Disclaimer: Advice and views on the stock market and other assets given by experts are their own. These opinions do not represent the views of The Times of India.
