Gold Rate Today: Minor gains for gold amid uptick in US bond yields. What should traders do?
A slight uptick in the US bond yields negated the advantage of the fall in the dollar index (DXY) as gold traded with minor gains in the early trade on Monday.
Taking cues from the international prices, MCX December gold futures opened with small gains and were trading at Rs 60,713 per 10 gram in the early trade, up by Rs 21 or 0.03% from the Friday closing price. Meanwhile, the December silver futures were trading at Rs 73,005 per kg, lower by Rs 135 or 0.18%.
On Comex, gold futures were trading at $1,985.80 per troy ounce on Monday, up by $1.10 or 0.06% while Silver futures were trading at $23.785, lower by $0.067 or 0.280%.
The dollar index was trading at 103.67 against a basket of top six currencies, down by $0.25 or 0.24%.
The December gold futures had ended at Rs 60,745 on Friday, up by Rs 23, or 0.04% while the December Silver futures closed down by Rs Rs 199 or 0.27% at Rs 73,161.
China’s Central Bank, in its monetary policy decision taken today, left the one-year and five-year Loan Prime rates unchanged at 3.45% and 4.20% respectively.
Praveen Singh, Associate Vice President, Fundamental Currencies and Commodities at Sharekhan expects yellow metal to trade range-bound in the near term and would need persistent weakness in the major US macroeconomic data to move above $2010.Gold futures on the MCX have declined by 0.37% or Rs 227 per 10 gram on the month-to-date basis, Anuj Gupta, Head Commodity & Currency, HDFC Securities informed. They were up by 10.35% or Rs 5,696 on the year-to-date basis as on Friday, November 17 on the closing price basis.
Meanwhile, silver futures have gained nearly Rs 1,471 or 2.05% in value terms in November while gaining by 5.36% or Rs 3,727 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 61,500 per 10 gram while those of 1 kg of Silver is Rs 75,00.
Intraday Trading Strategy by Anuj Gupta
– Buy MCX December Gold futures at Rs 60,605 with a stop loss of Rs 60,500 and price target of Rs 60975.
– Sell MCX September Silver futures at Rs 73,300 with a stop loss of Rs 74,000 and price target of Rs 72.450.
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)