India Gold MCX December futures trade lower on Wednesday tracking muted trend seen in the international spot prices amid rise in the US dollar which hurt the bullion’s appeal.

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The dollar index rose, raising gold’s cost to buyers holding other currencies, said a Reuters report. Spot gold fell to $1,827.05 per ounce, after hitting its highest since Sept. 3 earlier in the session.

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On the Multi-Commodity Exchange (MCX), the December gold contracts were trading 0.14 per cent lower at Rs 48,220 per 10 grams at 0930 hours. The December silver futures were trading 0.36 per cent higher at Rs 64,800 a kilogram.

Gold and silver showed high volatility on Tuesday amid volatility in the dollar index. Both precious metals settled on a mixed note in the international markets.

Gold December futures contract settled at $1830.80 per troy ounce, and silver December futures contract settled at $24.32 per troy ounce. Both the precious metals were also settled on a mixed note in the domestic markets.

“We expect gold prices to remain firm and after crossing $1832 per troy ounce could start a fresh rally in the upcoming sessions towards $1860-1878 per troy ounce,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

Gold has support at $1818-1804 per troy ounce and resistance at $1840-1852 per troy ounce; Silver has support at $24.10-23.84 per troy ounce and resistance at $24.60-24.88 per troy ounce.

“At MCX, Gold has support at 48055-47880 and resistance at 48440-48700; silver is having support at 64220-63800 and resistance at 64700-65100,” he said.

Jain suggests buying gold around 48150 with a stop loss of 47920 for the target of 48550 and buying silver around 64100 with a stop loss of 63800 for the target of 64800.

Technical Indicators:

Expert: Amit Khare, AVP- Research Commodities, Ganganagar Commodity Limited

Traders are advised to make fresh buy positions in Gold and Silver in small dips, traders should focus on important technical levels given below for the day:

December Gold closing price 48287, Support 1 - 48100, Support 2 - 47800, Resistance 1 - 48400, Resistance 2 - 48600.

December Silver closing price 64570, Support 1 - 64000, Support 2 - 63500, Resistance 1 - 65100, Resistance 2 - 65600.

Expert: Neha Qureshi, Technical Analyst at Reliance Securities

MCX Gold December above 48200 could see a bullish momentum up to 48500-48700 levels. Support at 47950-47750 levels.

Strategy for Gold December - Buy - 48200, Sell - 48050 & Target Price - 48500

LBMA Silver above $24.00 level could see sideways to marginal upside momentum up to $24.60-$25.40 levels. Support is at $23.98-$23.00 levels.

MCX Silver December above 64000 level could see 64700-65200 levels. Support is at 64000-63400 levels.

Strategy for Silver December Buy 64000, Sell63000 & Target Price - 66000.

(Disclaimer: The views/suggestions/advice expressed here in this article are solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)