Gold and Silver rate today (Aug 12, 2024): Domestic yellow metal futures on Friday traded flat with a positive bias as investors eyed the key US inflation print due to be released later this week as it will offer insight into the likely interest rate by the US Fed next month. At around 11:46 am, MCX gold futures (Oct 4) traded mildly positive and was up 0.09 per cent at 69,956 per 10 gm. Meanwhile, MCX Silver futures (Sept 5) traded relatively higher by 0.36 per cent or Rs 287 at Rs 80,830 per kg. 

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Rahul Kalantri, VP Commodities, Mehta Equities remarked, "gold and silver exhibited mixed performance in international markets, influenced by varied global signals, a steady dollar index, and stable U.S. bond yields. Despite a decline in U.S. jobless claims and a rebound in global equities, safe-haven demand for precious metals was bolstered by profit-taking in the Japanese Yen and rising tensions in the Middle East, particularly Iran's threat of retaliation against Israel. Gold and silver remain underpinned by key levels amid volatile currency markets and the possibility of U.S. Fed rate cuts to mitigate recession risks."

Gold finds support at $2,405-$2,388, with resistance at $2,442-$2,458. Silver is supported at $27.05-$26.85, with resistance at $27.55-$27.82. In INR terms, gold has support at ₹69,510-₹68,340, with resistance at ₹70,100-₹70,250. Silver finds support at ₹79,820-₹79,240, with resistance at ₹81,190-₹81,740, he added.

Meanwhile, COMEX gold in the international market was flat at $2,473.5 per ounce.

Neha Qureshi, Senior Technical and derivative research Analyst, Anand Rathi Commodities and Currencies said gold price traded steady around $2,430 during the early Asian session on Monday. The modest recovery of the US Dollar (USD) dragged the yellow metal lower today. However, the downside could be amid the heightened geopolitical tensions in the Middle East. Tensions in the Middle East would maintain the spot gold bid, with reports showing an intensification of the war.

The key US economic data this week might offer some hints about economic conditions, with the release of the US Producer Price Index (PPI), Consumer Price Index (CPI) and Retail Sales. The stronger-than-expected data might delay or diminish the odds of deeper Fed rate cuts, which weigh on the Gold price, she added.

Outlook on gold price 

Qureshi offering her view on gold's future trajectory said gold prices could start the week on a steady note driven by geopolitical concerns while could exhibit a sideways to positive bias ahead of all important US CPI numbers due on Wednesday. Technically prices have traded in a channel formation on a daily timeframe, which is slightly rising but broadly exhibited a sideways performance for more than three months now. The 50-day Exponential Moving Average (EMA) near $2,370 continues to provide strong support to the Gold price bulls in the medium-term perspective while prices await a breach of $ 2450 resistance on the upside for a sustainable move upside.

Trading strategy in gold

Qureshi advises to buy Gold October futures on dips at around Rs 69,900 for a target of Rs 70,400 with a stop loss at Rs 69,400 per 10gm. Similarly, the expert recommends to buy MCX silver September contract on dips around Rs 80,500 for a target of Rs 82,500 and a stop loss at Rs 79,500.

(Disclaimer: These are indicative prices collected from trusted sources. Investors are advised to check prices with their jeweller before acting on the information.)

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