Press Release

News,Article,Findoc | December 19
Gold could see a correction of 8- 10%, a good point for investors to buy

Source: Money Control

Gold had made a meaningful top near 55,900-56,000 levels. It has rallied more than 100% in the last 4 years i.e from 25,000-odd levels to 56,000.

Even with all the headwinds the world witnessed in 2020 due to the pandemic, gold hasn`t managed to rally further.

Gold has delivered handsome returns in the current year. It has rallied more than 37-38% in the current year from Rs 40,000-40,500 levels to make highs of 56,000, and currently trading around levels of 49,200.

Currently, Gold is trading in the range of 48,500-51,000 and has delivered negative returns in the last 2 months. Also, with the COVID-19 vaccine expected to arrive early next year, we can see some more pressure on the precious metal at these levels.

A correction of 8- 10% cannot be ruled out from these levels which will be a good point for investors to enter the yellow metal. Investors should follow the strategy of buy on dips and not put their entire amount in one go.

With economies recovering from the last quarters, gold may not be the choice for the investors for the medium-term, so investors may have to wait a little longer for a return on their investment.

On the fundamental front, Gold remains a hedge against any monetary policy failure. With the rise in COVID-19 cases across Europe and chances of the second wave hovering over the world, hedge/pension funds remain interested in buying gold even at current levels. Moreover, the physical demand for Gold remains strong.

Gold exchange-traded funds saw net inflows of over Rs 2,400 crore in the last three months ended September 30 as investors continued to hedge their exposure to riskier assets due to higher economic uncertainty resulting from COVID-19. In October, net inflows continued with a flow of Rs. 384 crore according to AMFI’S monthly data.

From the technical perspective, as per Elliot Wave Analysis, Gold has completed all 5 waves over the course of its movement from 25000-56000 and a reasonable correction is due followed by a good consolidation.

Gold has support around levels of 48500-49000- 23.6% of 25000-56000= 31000 levels. Till it holds that level, a rally up to 54000 cannot be ruled out. Below the levels of 48500-49000, supports are at around 46000 (33%) and 44300 (38.2%) of the up move.

Gold is expected to find a bottom around 40,000-40,500 levels and may trade in the broad range of Rs 40,000-50,000 over the next year.

Despite the gold market dipping briefly at the start of the year with the lockdown, the demand for gold has seen some upswing during the festive season.

During Diwali, gold had seen some pick up in the month of November. Many economists and surveys suggest that it is the best buy in these trying times.

(Nitin Shahi, Executive Director - Findoc Financial Services Group)

Disclaimer: The views and investment tips expressed by experts on are their own and not those of the website or its management. advises users to check with certified experts before taking any investment decisions.


Important Message The information contained in this file is provided for informational purposes only, and should not be construed as legal advice on any matter. The content and interpretation of the law addressed herein is subject to revision. We disclaim all liability in respect to actions taken or not taken based on any or all the contents of this file to the fullest extent permitted by law. Every effort is made to avoid errors. In spite of that, errors and discrepancies may creep in. It is expressly stated that neither Findoc Investmart Private Limited nor any of the contributors of updates will be responsible for any damage to anybody on the basis of this document. Readers are, therefore, requested to cross check with the original sources e.g. Government publications, Orders, Judgments etc., before taking any action or making any decision. These services are being provided through our group companies Findoc Capital Mart Pvt Ltd and Findoc Finvest Private Limited

Attention Investors
  • 1. Stock Brokers can accept securities as margin from clients only by way of pledge in the depository system w.e.f. September 1, 2020.
  • 2. Update your mobile number & email Id with your stock broker/depository participant and receive OTP directly from depository on your email id and/or mobile number to create pledge.
  • 3. Pay 20% upfront margin of the transaction value to trade in cash market segment.
  • 4. Check your securities / MF / bonds in the consolidated account statement issued by NSDL/CDSL every month.
No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries forrefund as the money remains in investors account.
Prevent Unauthorized Transactions in your demat account --> Update your Mobile Number with your Depository Participant. Receive alerts on your Registered Mobile for all debit and other important transactions in your demat account directly from NSDLon thesame day.....issued in the interest of investors.
KYC is a one-time exercise while dealing in securities markets-once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary. | (As instructed by SEBI, We hereby declare that we do engage in proprietary trading in all segment across the exchange.)
Effective communication & Speedy redressal of the grievances a. Register on SCORES portal b. Mandatory details for filing complaints on SCORES: i. Name, PAN, Address, Mobile Number, Email ID c. Benefits: i. Effective communication ii. Speedy redressal of the grievances link:
In case of grievances for any of the services rendered by Findoc Investmart Pvt Ltd write an email to
Mandatory updation of certain attributes of KYC of clients - The advisory is also displayed on the Depository website at following link:
1. NSDL:IN-DP-469-2020 2. Findoc Finvest Pvt. LTD. CIN no:U65910CH1995PTC016409 RBI REGISTRATION NO. B-06.00267 3. Findoc Investmart Private Limited CIN no:U74992CH2010PTC035180 SEBI REGISTRATION NO. INZ000164436 4. Findoc Investmart IFSC PVT. LTD CIN no: U65999GJ2017PTC095984 SEBI REGISTRATION NO. INZ000200735 5. INVESTMENT ADVISOR SEBI Registration no. INA100012297


Registered Office :

SCO 210-211, Sector 34-A Chandigarh-160022

Corporate Office :

4th Floor, Kartar Bhawan, Near PAU Gate No.1, Ferozepur Road Ludhiana -141001.

WhatsApp Bot

Open a Demat Account

*T&C Applied