MCX Gold, MCX Silver Price Today: Weakness to continue in bullion; expert advises Sell for intraday trade

Analyst Anuj Gupta recommends a sell in June Gold futures at Rs 53000 with a stop loss of Rs 53350 and target of Rs 52500. He sees support at Rs 52100-51750 while resistance at Rs 53000-53350

MCX Gold Rate: MCX Gold and Silver futures were trading with a negative bias on Wednesday, taking cues from the global bullion prices. Source: Reuters

MCX Gold Rate: MCX Gold and Silver futures were trading with a negative bias on Wednesday, taking cues from the global bullion prices. The weakness was on higher Dollar strength and treasury yields. The June MCX Gold futures were trading at Rs 52450 per 10 gram around 11:20 am and were down by nearly Rs 300 or 0.6 per cent. Meanwhile, the May MCX Silver futures were trading at Rs 68328 and were down by Rs 442 or 0.6 per cent around this time.

Analyst Anuj Gupta recommends a sell in June Gold futures at Rs 53000 with a stop loss of Rs 53350 and target of Rs 52500. He sees support at Rs 52100-51750 while resistance at Rs 53000-53350.

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Gupta, who is Vice President (VP), Commodity and Currency Research at IIFL Securities recommends selling as Dollar Index strength and treasury yields weigh on the prospects of yellow metal.

“The dollar climbed to a fresh two-decade peak to the yen on Wednesday, buoyed by more Federal Reserve officials pushing for sizeable interest rate hikes, while the Bank of Japan stepped into the market again to defend its ultra-low rate policy,” Gupta said.

His strategy on Silver futures is also ‘Sell’ at 69500 with a stop loss of Rs 70100 and price target of Rs 68000.

On Tuesday, prices had fallen up to 1.8 per cent as a stronger dollar and rising Treasury yields overshadowed safe-haven inflows into the metal, Reuters reported.

On Monday, gold prices came within touching distance of the key USD 2,000 per ounce level as the deteriorating Ukraine crisis and mounting inflation worries drove investors to the safety of gold, this report said.

Brokerage firm Motilal Oswal sees Gold and Silver futures trading with negative bias for this session. It places support at Rs 52300 and Rs 52000 for MCX Gold futures while resistance at Rs 52900-53100.

As for Silver futures, support is seen at Rs 68000-Rs 67500 whereas resistance is placed at Rs 68900-Rs 69300. No buying or selling recommendations were made.

(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.)

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