As per policy of the govt; the price differential has occurred between the Indian price of the gold and actual international price of the gold in the international arena. This is the reason that gold smuggling is increasing and probably this is the reason that we are now finding gold bars hidden in the aeroplane toilets. So, Archaeological survey of India instead of running after information obtained on the basis of the dreams should go and check the toilets of aeroplanes and toilets at airports.
Notwithstanding that you can keep on buying gold for your lady love; as it serves the twin objective of keeping your better half happy and also increasing your investment in the gold. So far so good on the lighter side and now we will analyse the purchase of gold from technical perspective.
As per our analysis we feel that one should reduce the exposure in gold as it is breaking the key supports in the international market and these key supports existed at $1550 per ounce and if the key support at $1200 per ounce is broken then sooner or later we may see gold touching the levels of $1000 per ounce. However if gold rises above $1320 per ounce a pull back will be seen and an upmove will be seen above 1550 mark.
What should I do as I have marriage of my daughter scheduled?
If marriage of your daughter is on your mind; then consider accumulating gold in a staggered manner during the whole year rather than buying the gold in bulk on a single day when you may find that rate is very high due to marriage season. Indian economics is simple as during the marriage season demand increases and supply reduces which leads to escalation of the prices.
Last but not least; it takes a lot of time to perform the technical analysis and write the content which is of the use for the investors and traders alike and thus will request you to please share the same through your favourite social bookmarking tool and let the good word spread as sharing is caring. This post is written on 02 Dec 2013. This post will be valid for full year 2014 and we will review it next year if required.