MCX Gold Rate: Gold futures trading at 5 week highs; analyst gives intraday trading strategy on June Futures, May Silver Futures

MCX Gold Rate: MCX Gold futures are trading at 5-week high levels. Higher inflation, weakness in US dollar and sell off in equity market has increased the demand for yellow metal, seen as a haven for investments at the time of crisis.

After a long weekend, Gold and Silver futures were trading with positivity on Monday. The June MCX Gold futures were trading at Rs 53,447 per 10 gm around 11 am and were up by almost Rs 455 or 0.9 per cent from the last closing price on Thursday. Meanwhile, the MCX May Silver Futures were trading at Rs 69980 per kg around this time and were up by Rs 948 or 1.4 per cent.

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Expert Anuj Gupta, Vice President (VP), Commodity and Currency Research at IIFL Securities remains bullish on the prospects of bullion and recommend a buying strategy. “We expect gold and silver may trade higher further,” Gupta said.

Gupta is of the view that Russia-Ukraine crisis is unlikely to get resolved anytime soon, and that may have a spiraling impact on crude oil and other commodities. This will have an impact on Global inflation, he said pointing out a US Federal Reserve commentary which sees inflation to appreciate from here.  

The VP suggests buying in June Gold futures at Rs 52900-53000 levels with the stop loss of Rs 52450 and the target of Rs 53800.

As for May Silver futures, buying is recommended at Rs 69300 to 69600 levels with the stop loss of Rs 68400 levels and target of Rs 71000.

Mcx gold prices are trading on 5 week's high levels at 53470 levels. In spot market it is trading at $1985 levels.

Gold and Silver may test USD 2000 and USD 26.50 soon in the international market, he opined.

June Options were trading at USD 1989.3 on the CME, up almost 0.7 per cent around this time while, May Options were trading at USD 25.98, up over 1 per cent, intraday.

Brokerage firm, Motilal Oswal sees Gold futures trading in an upper range for the first half session. Support is estimated at Rs 53,000-52,780 while it places resistance levels between Rs 53,500 and Rs 53,700.

For spot gold, support is seen at USD 1970-1958 while resistance is seen between USD 1995-2008.

As for Silver futures, support is seen at Rs 69,500-69,000 while resistance is seen at Rs 70,350-Rs 70,700. This bullion metal is expected to trade with a positive bias.

Spot Silver has support at USD 25.62-25.45 while resistance at USD 26-26.18, the brokerage report said.   

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