Gold December futures slipped in early trade on November 15 after reports suggest that the United States was nearing an interim trade pact with China.
Besides, gains in equities and stronger rupee also weighed on gold prices.
Equity benchmark Sensex closed 70 points up, while the Indian currency settled with a gain of 18 paise at 71.79 per dollar.
Gold December futures were trading with a loss of 0.70 percent at Rs 37,999 per 10 gram at 18:00 hours IST.
International gold and silver prices had gone up a day earlier. Spot gold in the international market-tested $1470 levels and silver prices also tested $17 per troy ounce. In the domestic market, gold prices tested the resistance level of 38,300 and silver tested 44,888.
Experts say gold and silver prices will remain volatile and could see further selling pressure, which could offer a buying opportunity.
“We expect gold and silver prices to be volatile today. Gold is expected to move in the range of 38,100-38,350 if prices sustain above 38,350 could test 38,500,” Manoj Kumar Jain, Director at IndiaNivesh Commodities told Moneycontrol.
“Silver prices are expected to be in the range of 44,400-44,900 if prices sustain above 44,900, could test 45,200 levels.”
Gold prices fell on November 15 as investors' risk appetite was whetted by comments from White House economic adviser Larry Kudlow that the United States was close to an interim trade pact with China
On the daily chart on November 14, gold traded positive. Prices have traded flat this week, giving 3 Doji closings, and for the last two days, gold formed a bullish green candle on closing, which is a positive sign for the bulls.
On the upside, 38,350-38,650 is likely to act as a supply zone. Though prices have closed above 20-day exponential moving average placed at 38,031, and 50-day EMA placed at 37,870, and some profit booking will be on cards that would act as positional buying opportunities.
On the downside, Rs 38,000 will be the support point, and any fall below it should lead to further selling.
Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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