Gold Rate Today, Gold Price in India on 11 May 2021: Gold prices in India were trading flat with a negative bias on Tuesday, following international rates as a retreat in US Treasury yields countered a slight rebound in the dollar.
Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices in India were trading flat with a negative bias on Tuesday, following international rates as a retreat in US Treasury yields countered a slight rebound in the dollar. On MCX, gold June futures were trading Rs 24 down at Rs 47,927 per 10 gram, as against the previous close of Rs 47,951. Silver July futures were ruling at Rs 71,373 per kg, down Rs 171 or 0.24 per cent on Multi Commodity Exchange. In the previous session, gold prices hit a three-month high as the yellow metal got support from the slumping US dollar index that hit 2.5 month low yesterday. “Hedge funds have reduced their bearish bets as gold prices are trading comfortably above $1800 but now the prices have remained steady and unable to move above its important 200 day moving average around $1872,” Bhavik Patel, Senior Technical Research Analyst, Tradebulls Securities, told Financial Express Online.
Physical gold demand in India dived last week as shops were shut and people turned cautious due to surging coronavirus infections across the world’s second-largest bullion consumer. On the technical charts, MCX gold has resistance around Rs 48,500 and Rs 49,200 where 200 day moving average is. “Momentum oscillator RSI_14 is still at 62 indicating prices are not in overbought state and there is room on the upside. The Rs 46,500 is the immediate support as prices have taken support twice in short period around that level. We believe gold will trade in range of Rs 47,000- Rs 48,500 this week,” Patel added.
Analysts said that the markets were still reverberating from the surprising US jobs report for April which saw lower than expected numbers and putting cold water on the notion that US Fed may be forced to increase interest rates. Last year in August, MCX gold touched a record high of Rs 56,191 per 10 grams.
Globally, spot gold was steady at $1,836.26 per ounce, after hitting its highest since February 11, 2021, at $1,842.91 on Friday. US gold futures were down 0.1 per cent at $1,836.40 per ounce. The dollar index was up 0.1 per cent, making gold more expensive for other currency holders, according to Reuters. Benchmark US 10-year Treasury yields were pinned below 1.6 per cent.
On the technical charts, prices are forming the Higher-High pattern on daily chart. “We expect the MCX Gold June prices to trade positive for intraday,” said NS Ramaswamy, Head of Commodities, Ventura Securities. He added that the RSI indicator also suggests the strength in the momentum on the higher side. Any dip in the prices can be used as a buying opportunity for intraday. On the downside, key support level is seen at Rs 47,500 level for intraday. “If gold prices manage to break above the Rs 48,150 in today’s session, prices are likely to head towards Rs 48,500,” he added.
For MCX silver, Ramaswamy said that any dip in the prices can be utilised as a buying opportunity for intraday. “On the downside, the key support level is seen at Rs 70,800. Once the prices start trading above the Rs 72,000 on hourly chart, we may see prices heading towards Rs 73,000 for intraday,” he added
(The views in this story are expressed by the respective experts of research and brokerage firm. Financial Express Online does not bear any responsibility for their advice. Please consult your investment advisor before investing.)