Gold was trading steady in Indian and international markets on January 10 morning, with cautious traders focusing on Federal Reserve chairman Jerome Powell's speech for insights into the US central bank's rate-hike trajectory.
At 9.56 am, gold was trading flat on the Multi Commodity Exchange (MCX) at Rs 55,862 for 10 grams. Silver was down 0.6 percent at Rs 68,490 a kilogram.
Spot gold held its ground at $1,872.79 a troy ounce at 0333 GMT while US futures were trading flat at $1,877.70.
Rahul Kalantri, VP Commodities, Mehta Equities Ltd
Both precious metals traded steady on January 9, with gold hitting a fresh seven-month high after a sell-off in the dollar index. Silver witnessed mild profit-taking at higher levels. The dollar index extended its fall and slipped below the 103 mark, supporting the precious metals.
The sentiment was also supported by reports that China boosted gold reserves for the second consecutive month. Increased physical demand from China and weakness in the dollar continue to support gold and silver prices.
We expect gold and silver to remain volatile on January 10. Gold has support at $1,858-1,845, while resistance is at $1,885-1,898. Silver has support at $23.48-23.32 and resistance is at $23.92-24.10.
In rupee terms, gold has support at Rs 55,640-55,450, while resistance is at Rs 56,120, 56,350. Silver has support at Rs 68,450-68,020 and resistance at Rs 69,520–69,980.
Manoj Kumar Jain, Prithvi Finmart Commodity Research
Gold and silver prices settled on a mixed note in the international market on January 9. February gold futures contract settled at $1,877.80, up 0.39 percent, while March silver futures contract settled at $23.87, down 0.45 percent. Domestic markets also settled on a mixed note.
We expect gold and silver prices to remain volatile ahead of Powell’s speech. Gold has support at $1,866-1,850 and resistance at $1,888-1,900. Silver has support at $23.55-23.20 and resistance at $24.20-24.50.
On MCX, gold has support at Rs 55,660-55,440 and resistance at Rs 56,050-56,220 and silver has support at Rs 68,350-67,750 and resistance at Rs 69400-69950. We suggest staying away from gold and silver ahead of the Fed chairman's speech.
(With agency inputs)Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.