Gold Price Today: Yellow metal down by Rs 3,000 in a month, silver down by Rs 5,000
Gold prices for MCX August contracts opened on a flat note on Thursday at Rs 71,746 per 10 grams after falling by Rs 2,950 in the last one month while silver July contracts also fell by Rs 5,000 in the same period and opened Rs 775 or 0.87% higher today at Rs 90,250/kg.
Gold rose slightly after ending the previous session almost unchanged and has been trading in a narrow range since Fed policymakers signaled that they expect only one rate cut this year, instead of the three expected in March. Lower interest rates are generally favorable for gold, as it doesn’t pay interest.
In the US, spot gold closed steady at $2328 yesterday after an uneventful day as the US markets observed the Juneteenth holiday. Overall, trading was lacklustre.
As per a report from the World Gold Council, 29% of central bank respondents intend to raise their bullion holdings in the next 12 months, which is the highest level since the survey began in 2018, which is positive for the metal in the medium to long term.
Today, the US Dollar Index, DXY, was hovering near the 105.27 mark, rising 0.02 or 0.02%.“On the daily timeframe, MCX Gold (August) is trading above its rising trend line indicating bullish sentiments. A break above 71,900 could further strengthen this bullish outlook. The price is currently above the 50 EMA, providing strong support and indicating continued strength. Key resistance levels to monitor are 71,900 and 72,500, while support levels are at 71,200 and 70,700,” said Neha Qureshi, Senior Technical & Derivative Analyst, Anand Rathi Commodities & Currencies.Intraday Trading Strategy by Neha Qureshi:
- Buy MCX AUGUST Gold futures at Rs 71700 with a stop loss of Rs 71300 and a price target of Rs 72300
- Buy MCX JULY Silver futures at Rs 89500 with a stop loss of Rs 88500 and a price target of Rs 91500
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)