Post Diwali Gold Price Outlook 2025 Expert Prediction & Trend

11 Nov
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As we draw nearer to the vibrant festival of Diwali, the domestic gold market is once again under the spotlight. With the 24-karat gold price in India recently crossing the ₹1.20 lakh per 10 grams mark and one brokerage projecting a rise to as high as ₹1.35 lakh by Diwali, the question for investors is: is there still room to ride the upward wave or is it time to take profits?

The good news for gold lovers: the trend remains broadly favourable. A number of macro and seasonal factors are pointing in favour of continued strength. But there are caveats — meaning savvy investors should consider buying on dips rather than chasing at peaks.

Why Gold Could Still Rise Ahead of Diwali

Several forces are driving gold’s current rally, and many of them remain firmly in place heading into the festive season:

Festival & jewellery demand
In India, Diwali marks one of the major gold-buying periods — weddings, gifting and traditional purchases all contribute. Reports show domestic demand is already holding up even at these elevated levels.
Global safe-haven appeal
Gold prices are rising around the world because of global tensions and increasing inflation. The value of gold is also supported by a weaker US dollar and more gold buying by central banks.
Technical & support levels
Analysts note that while gold is over-bought in some short-term metrics, there is still structural strength. For instance, one view sees key support at around ₹1.23-1.25 lakh per 10 g; if prices dip to that zone it may offer a favourable entry.
Room for upside
While gold has already risen strongly (over 40-50 % in 2025 in many cases), projections still point towards targets of ₹1.22-1.30 lakh per 10 g by Diwali, and even higher longer-term.

Given all that, yes — gold prices could continue to rise ahead of Diwali. For investors willing to take a measured approach, that means there may be opportunities.

Why Investors Should Buy on Dips

The margin for error is narrowing though — which is why the “buy on dip” strategy is especially relevant now.

Avoid chasing peaks. With gold already flying high, the risk of a short-term pullback is real. Some analysts point out that after several weeks of consecutive gains, a pause or consolidation phase is quite possible.
Look for support zones. If gold dips to key support levels (e.g., ₹1.23-1.25 lakh per 10 g), that may be an ideal trigger point to accumulate. That helps improve the risk-reward profile as opposed to buying at the highs.
Festive buying likely to sustain but may not accelerate indefinitely. Even with strong demand, once the festival passes, momentum may moderate. So investing during dips rather than waiting for another leg higher can make sense.
Diversification and timing matter. Gold remains one piece of a broader portfolio strategy (hedge vs inflation, currency risk etc). Buying on dips allows you to enter with more discipline rather than emotionally chasing a trend.

Practical Tips for Investors

Set an entry area: Instead of entering the market at the top, you must monitor the market closely and look for a dip in the price towards the range of support mentioned above.
Keep your expectations realistic: Even if the price of gold hits new highs, gains could slow and corrections may be severe.
Utilise festive demand: Especially coming in festival, you could see some short term bumps - but don't rely on this.
Have an exit strategy: Know what your target is beforehand (e.g., target price or hold long-term hedge).
Look for liquidity: If it is physical gold or jewelry, make sure you know where and how quickly you can monetise. For example, if you ever ask “where can I sell gold for cash near me”, it helps to have a trusted buyer/network. Similarly, if you own diamond-embedded jewellery you acquired at high prices, and you want to consider partial reallocation, knowing reputable diamond jewellery buyers near you is helpful.

What About Selling or Redeeming Jewellery?

If you hold gold jewellery or diamond pieces bought earlier, this rally presents choices. You might prefer to sell gold for cash if you believe the trend has peaked. In that context, exploring options for diamond jewellery buyers near me could also be relevant if part of your asset is in studded/diamond jewellery form.

Keep in mind that factors like making charges, purity and design premium, as well as local demand, will influence how much you get. You must prefer to contact trusted local buyers if you want to sell quickly.

Final Words

Gold continues to shine ahead of Diwali, backed by both structural global factors and domestic festival demand. For investors, that means the opportunity is real — but so is the risk of entering at the wrong time. That’s why the strategy of buy on dips makes sense: rather than chasing the highest levels, waiting for a pullback to a more favourable entry is prudent.

If you already hold gold jewellery or diamond-embedded gold, this may also be a good time to assess whether to hold or partially liquidate — so that if you’re asking “where can I sell gold for cash near me” or looking for how to sell silver, go to 24Karat.

FAQs

Will gold prices really go up before Diwali?

The majority of signs are positive! Gold jewellery demand is increasing as wedding season and Diwali are fast approaching. You can witness the price rise due to global inflation and uncertainty. Still, small dips are likely — and that’s when smart investors strike.

Should I buy gold now or wait for a price drop?

Think of gold like the festival lights — it shines brightest when you time it right! Instead of rushing in at peak prices, keep an eye out for small corrections. Buying on dips can help you get more gold for your money while staying part of the long-term uptrend.

What’s making gold so expensive worldwide?

Investors flock to gold whenever there is political tension, inflation or a weaker dollar. Gold is also being stocked by central banks to protect their reserves. All of these factors combined continue to drive prices higher on global markets.