Gold traded flat in the opening trade on Thursday amid gains in the dollar index (DXY), which has slipped below the 105 mark, hitting a 10-week low. The strength in greenback was on account of strong US retail sales data, off-setting hopes that the Federal Reserve had come to the end of its tightening cycle.
The December gold futures were trading at Rs 60134 per 10 gram, up by Rs 23 or 0.04% from the Wednesday closing price. Meanwhile, the December Silver futures were trading at Rs 72,183 per kg, higher by Rs 189 or 0.26%.
On Comex, gold futures were trading at $1,963.30 per troy ounce on Thursday, down by $1 or 0.05% while silver futures were trading at $23.425, lower by $0.113 or 0.48%.
The dollar index was trading flat at 104.54 against a basket of top six currencies, up by 0.15 points or 0.14%.
US retail sales data (October) turned out to be better than forecast. Headline retail sales advance fell 0.10% m-o-m as against the forecast of a decline of 0.30% as retail sales ex auto and gas m-o-m rose 0.10%, thus trailing the estimate of 0.20%.
Singh sees gold trading range bound with support at $1,950-$1,920 and resistance at $1,980-$1,995.
Gold futures on the MCX have declined by 1.32% or Rs 804 per 10 gram on the month-to-date basis, Anuj Gupta, Head Commodity & Currency, HDFC Securities said.They were up by 9.30% or Rs 5,117 on the year-to-date basis as on Wednesday, November 15 on the closing price basis.
Meanwhile, Silver futures have gained nearly Rs 511 or 0.71% in value terms in November while gaining by 3.97% or Rs 2,757 on the YTD basis, the commodity and currency analyst said.
Price of gold in major physical bullion markets like Delhi, Ahmedabad and other cities is Rs 60,800 per 10 gram while those of 1 kg of Silver is Rs 73,500.
Intraday Trading Strategy by Anuj Gupta
– Buy MCX December Gold futures at Rs 60,125 with a stop loss of Rs 59,980 and price target of Rs 60,400.
– Sell MCX September Silver futures at Rs 72,650 with a stop loss of Rs 73,180 and price target of Rs 71,650.
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