Mumbai, June 22 (IANS). Precious metals saw a rise of up to 1 percent on the Multi Commodity Exchange of India (MCX) on Monday, the first trading day of the week, amid softening of crude oil prices amid the delicate situation of US-Iran peace talks.
In Monday’s session, gold for August delivery opened at Rs 1,45,110 per 10 grams, down by Rs 2,093 from its previous close of Rs 1,47,203 and in early trade it reached the day’s high of Rs 1,48180 with a gain of 0.60 percent.
At the time of writing (around 10.54 am), the yellow metal was trading at Rs 1,48,052 per 10 grams, up by Rs 849 or 0.58 percent.
At the same time, silver for July delivery was seen trading at Rs 2,35,900 per kg with an increase of Rs 2,715 or 1.16 percent.
Silver opened today’s session at Rs 2,37,088 per kg, up Rs 3,903 or 1.6 per cent from its previous close of Rs 2,33,185 and touched the day’s high of Rs 2,37,106 in early trade.
A market expert said that MCX Gold started gap-down around Rs 1,46,000, but due to buying at lower levels, it regained momentum and the price reached the resistance zone of Rs 1,48,000 to Rs 1,48,400. If prices sustain above this range, recovery may extend towards Rs 1,49,500-1,50,000 and then towards Rs 1,51,000. At the same time, on the downside, the area of Rs 1,46,000 to Rs 1,45,600 is an important support. If it falls below this level, the price can go up to Rs 1,45,000.
According to experts, at present the market trend remains cautious, although the recent recovery has increased the confidence of investors. To consolidate the upside, it would be necessary for prices to sustain above Rs 1,48,000 and regain the psychological level of Rs 1,50,000.
The expert further said that MCX Silver started gap-up around Rs 2,37,000, which is a sign of strength in the market. If prices cross the resistance zone of Rs 2,37,000 to Rs 2,38,000, the upside may extend to Rs 2,40,000 to Rs 2,42,000. At the same time, if it falls below Rs 2,35,000 to Rs 2,34,000, the price may slip to Rs 2,32,000 and then to Rs 2,30,000. At present the market is trying to stabilize, but for a strong rise it will be necessary to stay above Rs 2,40,000. Selling pressure may increase again if support is broken.
On the energy front, international benchmark Brent crude was trading more than 2 per cent lower at around $79 a barrel, while US West Texas Intermediate (WTI) crude fell 3 per cent to around $75 a barrel.
–IANS
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