Gold Price Today: Yellow metal trades lower; support seen at Rs 47,550: Experts

India Gold MCX February futures trade lower on Thursday, following muted trend seen in the international spot prices which are hovering around $1800 per ounce.

Benchmark 10-year U.S. Treasury yields firmed to near a one-month peak, raising the opportunity cost of holding non-interest paying gold, said a Reuters report.

On the Multi-Commodity Exchange (MCX), the February gold contracts were trading 0.19 per cent lower at Rs 47,750 per 10 grams at 09:20 hours. The March Silver futures were trading 0.43 per cent lower at Rs 61,572 a kilogram.

Gold and silver plunged again on Wednesday amid strength in the benchmark 10-year bond yields in the United States. Both the precious metals settled on a weaker note in the international markets.

Gold February futures contract settled at $1805.80 per troy ounce, and Silver March futures contract settled at $22.86 per troy ounce. Both the precious metals were also settled on a weaker note in the domestic markets.

“Downbeat US pending home sales data also supported precious metals at lower levels. We expect both the precious metals to remain volatile in today’s session ahead of the US unemployment claims data and could hold its support levels,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

“Gold has a support at $1792-1780 per troy ounce and resistance at $1814-1822 per troy ounce; silver has a support at $22.55-22.30 per troy ounce and resistance at $23.10-23.42 per troy ounce,” he said.

At the MCX, Gold has support at 47,700-47,550 and resistance at 48,000-48,180; silver has support at 61500-61300 and resistance at 62,220-62,700. Jain suggests buying silver on dips around 61500 with a stop loss of 61100 for the target of 62,500.

Technical Indicators:

Amit Khare, AVP- Research Commodities, Ganganagar Commodity Limited

The movement may be very slow due to the year-end and the New Year holidays in the US market. As per the daily technical chart, Gold and Silver are both ready for some profit booking.

Momentum indicator RSI also indicates the same on the hourly as well as on the daily chart. Traders are advised to create fresh sell positions near given resistance levels, and should focus on important technical levels given below for the day:

February Gold closing price 47839, Support 1 - 47500, Support 2 - 47300,  Resistance 1 - 47950, Resistance 2 - 48100.

March Silver closing price 61838, Support 1 - 61000, Support 2 - 60500, Resistance 1 - 62200, Resistance 2 - 62600.

Expert: Sriram Iyer, Senior Research Analyst at Reliance Securities

Domestic gold prices could start flat early Thursday morning, tracking the overseas prices.

Technically, if MCX Gold February trades below 47800 level it could witness a downside momentum up to 47605-47375 levels. The resistance zone is at 48040-48245 levels.

International spot silver prices have started flat to weaker this early Thursday morning in Asian trade.

Technically, if COMEX March trades below $22.880 levels, it could witness a downside momentum up to $22.575-$22.295 levels. The resistance zone is at $23.165-$23.465 levels.

Domestic silver prices could start flat to weaker this early Thursday morning tracking the overseas prices.

Technically, if MCX Silver March trades below 61960 levels, it could witness a downside momentum up to 61270-60700. The resistance zone is at 62530-63220.

(Disclaimer: The views/suggestions/advices 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.)