Gold futures on the Multi Commodity Exchange (MCX) are showing resilience, currently trading around ₹1,02,150. This steady performance suggests a sustained upward momentum in the market. According to Jateen Trivedi from LKP Securities, investors might benefit from adopting a ‘buy on dips’ strategy. This approach involves purchasing gold when prices experience minor declines, potentially maximizing returns as the overall trend remains positive.

For intraday traders, there is an opportunity to buy gold near ₹1,01,850. However, it is crucial to implement a stop-loss at ₹1,01,450 to mitigate potential losses. This strategy is particularly relevant given the current technical indicators.

The moving averages and the Moving Average Convergence Divergence (MACD) are both pointing towards a bullish market. These indicators suggest that the price of gold is likely to continue its upward trajectory in the near term. However, traders should exercise caution as the Relative Strength Index (RSI) indicates that gold is nearing overbought conditions.

The RSI is a momentum oscillator that measures the speed and change of price movements. When it approaches overbought levels, it can signal that a price correction might be imminent. Therefore, while the overall outlook remains positive, traders should remain vigilant and prepared for potential fluctuations.

Gold’s performance is influenced by various factors including global economic conditions, currency fluctuations, and geopolitical tensions. Historically, gold has been seen as a safe-haven asset during times of uncertainty. As such, its price can be affected by investor sentiment and broader market trends.

In conclusion, while gold prices are currently exhibiting strength and upward momentum, market participants should remain cautious due to technical indicators suggesting possible overbought conditions. By employing strategic trading practices such as ‘buy on dips’ and setting appropriate stop-loss levels, investors can navigate the complexities of the gold market effectively.