Gold prices rose in the opening trade on Thursday tracking positive trade in the international prices. The gains in yellow metal were on the back of some let-off in the dollar index (DXY).
The MCX April gold futures were trading at Rs 66,491 per 10 grams, rising Rs 124 or 0.19% while May silver futures were trading at Rs 74,808 per kg, higher by Rs 146 or 0.20%.
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The Dollar Index (DXY) is hovering above the 104 mark against a basket of six top currencies at 104.33, down by 0.02 points or 0.02%. It has narrowed gains to 0.32% over the past five trading sessions.
Gold is trading near record levels, recovering some of the lost ground in previous weeks. It is shy of its lifetime high of Rs 66,943 by just over Rs 400. In the international markets, the prices had shot up above the $2,220 per troy ounce mark.
MCX Gold and Silver futures ended with minor declines on Wednesday with the April gold contract settling with an uptick of Rs 32 per 10 grams or 0.05% at Rs 66,399 while the May silver contract ended down by Rs 15 or 0.03% at Rs 74,677 per kg.
Gold has been trading with positivity amid geopolitical tension in the Middle East and hopes of a sooner rate cut, Anuj Gupta, Head Commodity & Currency, HDFC Securities said as he sees MCX gold contract trading at Rs 66,000-67,000 while silver futures at Rs 74,500- Rs 76,000 levels.
On the Daily chart, MCX April gold futures are exhibiting an upward trajectory, characterised by a series of increasing peaks and troughs though RSI has entered the overbought territory, hinting at a potential retracement in prices, Neha Qureshi, Senior Technical & Derivative Analyst at Anand Rathi Commodities & Currencies said. The Anand Rathi analyst places key resistance levels at Rs 66,900- Rs 67,400 while support at Rs 66,050- Rs 65,800.
The prices have risen by 6.07% or Rs 3800 on MCX on the month-to-date basis, Anuj Gupta, Head Commodity & Currency, HDFC Securities said. On the year-to-date basis, the uptick is Rs 3,164 or 5.01%. As for Silver contract, the MTD gains stand at 4.75% or Rs 3,383 while the YTD gains at 0.31% or Rs 232, Gupta added.
The price of gold in major physical bullion markets like Delhi, Ahmedabad and other cities is Rs 66,800 per 10 grams while that of 1 kg of Silver is Rs 76,000, Gupta said.
Intraday Trading Strategy by Neha Qureshi
– Buy MCX April gold futures at Rs 66,400 with a stop loss of Rs 66,000 and a price target of Rs 66,900.
– Buy MCX May silver futures at Rs 74,700 with a stop loss of Rs 73,700 and a price target of Rs 76,700.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)