Gold Rate: Gold prices within India declined significantly on Tuesday. According to the Multi-Commodity Exchange (MCX), gold contracts fell 0.20 percent to 47,818 per 10 grams at 1030 hours on December 7.
Silver, a different precious metal, was flat on Tuesday. Silver futures dropped by 0.09 percent to Rs 61.213 for 100 grams.
The prices of yellow metal were unchanged in the international market. However, the increased strength of the dollar and the higher US Treasury yield weighed on gold’s demand in the global market.
Spot gold was trading at $1,778.79 per ounce at 0130 GMT and US; the gold market was unchanged at $1,780.00 as per Reuters.
Comex gold prices fell 0.16 percent on Monday, despite rising US Treasury yields and a firmer dollar index. The dollar index climbed 0.34 percent on Monday amid growing fears that the US Federal Reserve could likely reduce its purchases of assets more rapidly and could quickly increase interest rates over the coming year, despite signs of higher inflation.
The recent rise in the dollar index has made gold more expensive for those who hold other currencies. As a result, US benchmark 10-year Treasury yields climbed to 1.39 and increased the price of holding low-yielding bullion.
MCX Gold prices are expected to be traded within a range of 47,800 to Rs 48,200 with a mixed view in the wake of an increase in risk-averseness on the US markets as well as the rising US Treasury yields. However, a significant downside could be averted by a weakening in dollar-rupiah exchange rates, according to ICICI Direct Research in a note.
Ravi Singh, Vice President, and head Research ShareIndia, Avi Singh. Research ShareIndia, said, “Gold prices in MCX are trading on the cues of international rates.
The latest variant, Omicron, is stopping the demand for weddings in India until further information regarding the severity of the disease and its spread.
The traders are more focused on the tapering of the Fed after data indicated that the labor market was quickly getting tighter, pushing gold to an unable zone.
Buy Zone Above: at least Rs 48,000 with a target at Rs.48,500. Selling Zone below – 47700 with a target of Rs 47,400.”
“Gold and Silver had an erratic event during the trading session on December 6 on the Multi-Commodity Exchange (MCX); February gold contracts ended the month up 0.02 percent to Rs 47,914 per 10g.
The March contract for Silver futures was trading at Rs 61,516 per kg, 0.40 percent lower. Yesterday, February gold reached an all-time high of Rs 48,039, the quiet of Rs 47,830, and Silver hit the highest level of Rs 61 719 before settling at 60,837.
These days, we’re seeing a lot of volatility in billions. This could continue throughout December.” explained Amit Khare. AVPResearch commodities Ganganagar Commodity Limited.
According to technical charts, both Silver and gold are trading within the oversold area. Momentum indicator RSI also indicates the same on a daily and hourly chart. These levels are currently the most favorable prices for short-term investors.
Short-term investors should consider establishing new longs to take advantage of the slight dips in support levels.
Investors should pay attention to key technical levels as follows for the day. The February gold closing price was Rs 47,914, support 1 – Rs 47,750, Support 2 Rs 47,500, and Resistance 1 – Rs 48,055, and Resistance 2 – Rs 48,200.
The closing price for March silver was 612770, Support 1 – 600 Rs, and Support 2. Rs 60,000. Resistance 1 is Rs 62,000 2 Resistance – 6,300,” Khare said. Khare.