At 10:50 am, the prices were trading with a negative bias at Rs 97,285/10 grams (lower by Rs 72 or 0.07%).
Meanwhile, silver July futures contracts also opened higher by Rs 445 or 0.42% at Rs 1,06,425/kg.
On Wednesday, gold and silver settled on a positive note in the domestic and international markets. Gold August futures contract settled at Rs 97,357 per 10 grams with a gain of 0.34% and silver July futures contract settled at Rs 1,05,980 per kilogram with a gain of 1.01%.
Gold and silver rebounded in a volatile session on Wednesday amid global uncertainties and weakness in the dollar index. The dollar index slipped to a 39-month low and supported metal prices.
Today, the US Dollar Index, DXY, was hovering near the 97.40 mark, falling 0.28 or 0.29%.The Russian aggression on Ukraine increased worries of tensions between NATO nations. The NATO nations have also agreed to increase their defense budget to 5% of their GDP.The downbeat U.S. consumer confidence data also increased worries about a U.S. recession and could further push the dollar index lower and support precious metal prices.
“However, de-escalation in the Middle East is limiting gains of gold and silver,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.
“We expect gold and silver prices to remain volatile this week amid volatility in the dollar index and geopolitical tensions, but gold prices could hold their support level of $3,240 per troy ounce and silver prices could also hold $34.00 per troy ounce levels on a weekly closing basis,” he added.
How to trade gold?
Manoj Kumar Jain suggested the following ranges for gold and silver on MCX:
- Gold has support at Rs 97,000-96,600 and resistance at Rs 97,750-98,100
- Silver has support at Rs 1,05,000-1,04,400 and resistance at Rs 1,06,650-1,07,400
Jain suggests buying gold on dips around Rs 97,000 with a stop loss of Rs 96,600 on a closing basis, for a target of Rs 97,800.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 58,528/8 grams while pure gold (24 carat) prices stand at Rs 62,424/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 57,504/8 grams while pure gold (24 carat) prices stand at Rs 61,312/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 56,848/8 grams while pure gold (24 carat) prices stand at Rs 60,624/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 57,192/8 grams while pure gold (24 carat) prices stand at Rs 60,928/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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