Gold prices fell for a fourth consecutive session on January 31 in the international market and were set for their biggest monthly drop since last September, as the US dollar strengthened ahead of key central bank meetings, making bullion more expensive for holders of other currencies.
At the Multi-Commodity Exchange (MCX), gold contracts were trading marginally higher by 0.11 percent at Rs 47,665 for 10 grams at 9.30 am and silver shed 0.06 percent to trade at Rs 61,000 a kilogram.
The near-term trend in gold and silver may remain weak as investors jitter at the hawkish Fed outlook. The strong dollar and rising bond yield put selling pressure on precious metals. Gold has resistance at Rs 48000 while support is at Rs 47200. Selling pressure is likely to be seen in gold near resistance levels. Support of Rs 47200 will be crucial if this level is breached, then selling momentum may increase and prices may head for Rs 46700 levels, said Abhishek Chauhan, head of commodity and currency at Swastika Investmart.