Gold December futures contracts at MCX opened lower at Rs 76,800 per 10 gram on Monday, which is down by 1.05% or Rs 816 while silver December futures contracts also witnessed profit booking, opening lower by 1.26% or Rs 1,144 at Rs 89,624/kg.
Despite profit booking in an early trade today, gold prices are up by Rs 2,850/ 10 grams in the last one week while silver prices jumped Rs 1,200/kg in the same period.
On Monday, gold and silver settled on a positive note in the domestic and international markets. Gold December futures contract settled at Rs 77,616 per 10 grams with a gain of 1.20% and silver December futures contract settled at Rs 90,768 per kilogram with a gain of 0.94%.
Gold and silver gained last week and gold posted more than 5.0% gains last week and which was the highest weekly gain in a year. Gold also hit fresh life-time high against the Euro as Euro slipped to 2-year lows against the US dollar.
Escalating tensions between Russia-Ukraine after both countries fired long distance missiles on each other last week and supported safe-haven buying of precious metals. Gold and silver also gained amid global uncertainty post winning Donald Trump in the US Presidential elections.
However, the dollar index hit 2-year highs and crossed 107 marks last week and the US 10-year bond yields also sustaining above 4.40% and limiting gains of precious metals.Today, the US Dollar Index, DXY, was hovering near the 106.87 mark, gaining 0.69 or 0.64%.“We expect gold and silver prices to remain volatile this week amid volatility in the dollar index, U.S. GDP data and geo-political tensions but it could hold its key support levels of $2,634 and $29.88 per troy ounce levels respectively on a weekly closing basis,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.
Ranges for gold and silver by Manoj Kumar Jain:
- At MCX, gold has support at Rs 77,330-77,040 and resistance at Rs 77,880-78,220.
- Silver has support at Rs 90,150-89,500 and resistance at Rs 91,400-92,200.
Jain suggests buying gold on dips around Rs 77,300 with a stop loss of Rs 77,040 for the target of Rs 78,000. Additionally, it is suggested to buy silver on dips around Rs 90,300 with a stop loss of Rs 89,650 for the target of Rs 91,800.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 57,856/8 grams while pure gold (24 carat) prices stand at Rs 61,680/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 57,296/8 grams while pure gold (24 carat) prices stand at Rs 61,080/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 56,760/8 grams while pure gold (24 carat) prices stand at Rs 60,448/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 56,792/8 grams while pure gold (24 carat) prices stand at Rs 60,584/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)