On the global front, uncertainty around Brexit will act as a tailwind for the yellow metal
Gold prices trade in a range on October 25, after rallying in the previous session. The prices are expected to remain volatile and could inch higher amid buying by investors on the auspicious occasion of Dhanteras festival.
On the global front, uncertainty around Brexit will act as a tailwind for the yellow metal.
Ahead of the Dhanteras, Gold December futures rose by more than Rs 300 to Rs 38,352 per 10 gram on October 24. Gold December futures fell by Rs 23 to Rs 38,329 per 10 gram at 0920 hrs IST on October 25.
"Dhanteras is considered as an extremely auspicious day to make new purchases, especially Gold in India and around the globe by Hindus. People invest in the yellow metal as it is believed to bring prosperity. Gold is also considered a good hedge against inflation," Sunilkumar Katke, Head - Commodities & Currency, Axis Securities told Moeneycontrol.
"We can expect the prices to move northward from current levels of $1,490 to about $1,750 at Comex and Rs 38,000 levels per 10 grams to Rs 42,000 mark in months ahead domestically," he said.
Gold and Silver prices breached crucial resistance of Rs 38,100 and Rs 45,500 in the October 24 session after the UK Prime Minister Boris Johnson called for election uncertainty of Brexit rises.
Spot Gold crossed $1,500 per troy ounce and silver prices also test $17.80 levels. At MCX Gold made a high of Rs 38,372 and Silver tested Rs 46,082 levels.
"We expect ahead of Brexit uncertainty gold and silver prices remain firm. At MCX gold prices sustain above 38,330 could test 38,500-38,620, now 38,100 act as a major support for Gold," Manoj Kumar Jain, Director at IndiaNivesh Commodities, told Moneycontrol.
"Silver prices also looking firm and sustain above 46,100 will show further strength towards 46,400-46,600, now 45,800 act as a major support for silver prices," he said.Also read: Dhanteras 2019: Here's why people buy gold and other valuables on the auspicious dayGet access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.