Gold traded flat in the early trade on Wednesday as the dollar index (DXY) crossed above the 100 mark and was trading with positive bias. The DXY was around 100.07 against a basket of 6 major currencies.
The August gold futures were trading at Rs 59,793 per 10 grams on the MCX around 9:10 am, rising Rs 30 or 0.05% from Tuesday’s closing price. Meanwhile, September Silver futures were at Rs 76,186 per kg, higher by Rs 83 or 0.11%. Track prices here
Gold and silver futures ended in the green in the previous session riding on the weakness in the DXY in the previous session. While gold futures were up by over 1%, Silver futures closed with 0.76% gains.
On the Comex, Gold futures were trading at $1,979.10 per troy ounce on Wednesday, down by $1.70 or 0.09% while Silver futures trading at $25.225, lower by $0.031 or 0.120%.
Anuj Gupta, Vice President (VP), Commodity and Currency Research at IIFL Securities expects DXY to test 97 levels which he believes would augur well for the yellow metal.
Gold futures on the MCX have gained by 2.78% or Rs 1,619 per 10 grams on a month-to-date basis, Gupta said. They are up by 8.77% or Rs 4,822 on a year-to-date basis, he added. Meanwhile, silver futures have gained nearly Rs 6,125 or 8.75% in value terms in July while rising 9.77% or Rs 6,775 on a YTD basis, the IIFL analyst said.
The price of physical gold in bullion markets in Delhi-NCR is around Rs 61,300 per 10 grams while that of Silver is Rs 78,000 per kg, Gupta said. Click to know more Intraday Trading Strategy by Anuj Gupta
– Buy MCX August Gold futures at Rs 59,400 with a stop loss of Rs 59,100 and price target of Rs 59,900
– Buy MCX September Silver futures at Rs 75,500 with a stop loss of Rs 74,800 and price target of Rs 76,700
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)