Gold prices today rise close to Rs 49,500, resistance lies at Rs 49,600

NEW DELHI: Gold and silver futures prices within the home market gained on Wednesday as a rally within the US greenback took a pause making valuable metals enticing. Unabated rise in infections additionally helped the trigger.

Benchmark 10-year Treasury yields pulled again from 10-month highs, dragging the greenback decrease and making gold cheaper for different unit holders. Global coronavirus infections rose to greater than 91 million, with a number of Asian and European nations implementing stricter restrictions to curb the unfold of the virus.

Gold futures on MCX have been up 0.71 per cent or Rs 348 at Rs 49,393 per 10 grams. Silver futures slipped 0.52 per cent or Rs 345 to Rs 66,251 per kg.

“COMEX gold trades about 0.9 per cent higher near $1,961/oz after a 0.4 per cent decline yesterday. Gold trades higher supported by retreat in the US dollar index after recent gains. Also supporting the price is hopes of higher US stimulus, rising virus cases and impeachment proceedings against US President Trump,” mentioned Ravindra Rao, VP- Head Commodity Research at Kotak Securities.

“However, weighing on price is the lack of ETF buying and progress on vaccination. Gold may remain choppy amid lack of fresh triggers however general bias may be on the upside owing to increased stimulus expectations.”

In the spot market, gold prices within the nationwide capital jumped for the second consecutive day on Tuesday gaining Rs 297 to Rs 48,946 per 10 gram, in step with rally in worldwide valuable metallic prices. Silver additionally gained Rs 1,404 to Rs 65,380 per kg.

Trading technique

“Gold prices are expected to trade sideways to up for the day. COMEX gold has important resistance at $1,875 per ounce and support at $1,830 per ounce. MCX Gold February futures support lies at Rs 48,800 and resistance at Rs 49,600 for the day,” mentioned Tapan Patel, Senior Analyst (Commodities), HDFC Securities.

Global markets

Gold prices edged up on Wednesday because the greenback pulled again. Spot gold rose 0.2 per cent to $1,858.56 per ounce by 0255 GMT, whereas US gold futures gained 0.9 per cent to $1,860.10.

Silver dipped 0.2 per cent to $25.51 an oz.. Platinum rose 0.3 per cent to $1,079.21, whereas palladium eased 0.2 per cent to $2,388.78.