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Last Updated : Oct 15, 2019 02:39 PM IST | Source:

Gold price today: Yellow metal slips ahead of Brexit talks; 37,900 to lend support

Gold is expected to trade in the range of 37900-38400 while silver is expected to be traded in the range of 45400-46200.

Gold prices in India saw a muted opening in futures trade on October 15 as markets braced for talks between Britain and the European Union.

In the absence of fresh triggers on the US-China trade talks, investors kept on the edge while tensions in the Middle East is likely to infuse volatility.

December futures for the yellow metal traded at Rs 38,145 per 10 gram, down Rs 81, or 0.21 percent, on the MCX around 1235 hours.


Officials from Britain and the EU will meet at a make-or-break summit on Thursday and Friday that will determine whether or not Britain is headed for a so-called no-deal Brexit, said a Reuters report.

Track live Gold price here

Gold and Silver prices recovered from their lows in Monday's session after the United States outlined the first phase of a trade deal and suspended scheduled tariff hikes on Chinese goods.

Spot Gold in the international market closed above $1,492 and Silver prices also closed above $17.50 per troy ounce.

Experts feel that volatility is likely to continue for some more time and both gold, and silver are likely to trade in a narrow range.

“At MCX Gold prices could test Rs 38,200 and Silver prices could re-test Rs 45,800 again. We expect trade deal headlines and tensions in the Middle East keep bullion prices volatile in today's session,” Manoj Kumar Jain, Director at IndiaNivesh Commodities, told Moneycontrol.

“Gold is expected to trade in the range of 37900-38400 while silver is expected to be traded in the range of 45400-46200,” he said.

Technically, gold has retraced 50 percent of the prior rise from the year 2000 to 2012 and started to move higher after the consolidation of almost 2 to 3 years.

Gold Chart

"Such breakout indicates a resumption of the uptrend. We can also see that RSI has broken out of the downward moving trendline which suggests a shift in the range which supports the bullish view," said Ashish Kyal, CMT, Waves Strategy Advisors.

"At the bottom of the chart, we have shown the ratio of gold to the S&P 500 index in green color. The rising ratio suggests that money is flowing into gold and moving out from equities and vice versa. If the ratio moves above 0.63 levels where the breakout zone is placed, then we can expect more flows into the gold than equities. That will be the real sign that shift in the money flow from equities to gold," said Kyal.

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First Published on Oct 15, 2019 12:35 pm
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