Gold was muted while silver suffered losses in early trade in the Indian market on September 15, even as global cues were positive after the US inflation cooled a bit and the dollar eased against other currencies.
On MCX, October gold futures were trading 0.06 percent lower at Rs 47,231 for 10 grams at 0945 hours. December Silver was 0.24 percent lower at Rs 63,430 a kg.
Gold and silver gained in the global markets after lower-than-expected US inflation data. The US consumer price index (CPI) increased 0.3 percent in August compared to July.
The two metals may remain volatile on September 15 and hold their support levels, said Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research.
"Gold is having support at $1,796-1,784 per troy ounce and resistance at $1,818-1,832 per troy ounce. Silver has support at $23.55-23.20 per troy ounce and resistance at $24.14-24.50 per troy ounce," he said.
On MCX, gold has support at Rs 47,050-46,920 and resistance at Rs 47,400-47,550, he said. For silver, support is at Rs 63,100-62,800 and resistance at Rs 63,900-64,200.
Jain suggests buying silver on dips around Rs 63,200 with a closing stop loss of Rs 62,800 for the target of Rs 64,100.
Technical indicators
Expert: Ravindra Rao,CMT, EPAT, VP- Head Commodity Research at Kotak Securities
Gold paused near $1,800 after making gains the previous day but is being supported by choppiness in the dollar, renewed virus concerns, disappointing economic data from China, concerns over China’s regulatory crackdown and growing geopolitical tensions.
ETF investors moved to the sidelines after brief inflows earlier in the week. Gold may witness choppy trade along with the dollar but challenges to the global economy and easing price pressure in the US may support the metal.
Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited
On September 14, October gold made a low of Rs 46,620 then a high of Rs 47,320, and silver made a low of Rs 62,603 then a high of Rs 63,667.
We have seen a good short-covering rally in bullion from bottom levels on September 14. This may continue for the next few trading sessions.
Technical charts are showing some strength in gold and silver. Momentum indicator RSI is also indicating the same.
Traders are advised to create fresh buy positions in gold and silver in small dips near the support levels given below:
October Gold Support 1: Rs 47,000 | Support 2: Rs 46,800 | Resistance 1: Rs 47,450 | Resistance 2: Rs 47,700.
December Silver Support 1: Rs 63,000 | Support 2: Rs 62,400 | Resistance 1: Rs 64,200 | Resistance 2: Rs 65,030.
Sandeep Matta, Founder, TRADEIT Investment Advisor
The technical setup for gold is bullish, while current resistance resides first at $1,809 and secondly at $1,815.70, which is gold’s 100-day moving average.
For MCX gold, which re-entered a bullish setup in the previous session, the outlook is stable and the metal is expected to remain rangebound on September 15.
Key level for gold: Rs 47,067
Buy Zone: Above Rs 47,100 for the target of Rs 47,513-47,767
Sell zone: Below Rs 47,050 for the target of Rs 46,813-46,690
Abhishek Chauhan, Head Commodity and Currency, Swastika Investmart
Gold bounced back from its key support levels and gained Rs 700 per 10 gram on September 14 as inflation data remained weak due to increased COVID-19 cases in the US.
However, gold has resistance at Rs 47,500 and if it breaks this level, then momentum will continue towards Rs 48,300.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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