Gold Price Today: Yellow metal prices up Rs 300/10 gm on Dhanteras, silver opens at Rs 97,850/kg

On the auspicious occasion of Dhanteras, Gold December futures on the MCX opened 0.4% or Rs 304 higher at Rs 78,870/ 10 grams, hovering close to their all-time high level of Rs 78,919/10 gm.

Meanwhile, December silver futures contracts surged 0.43% or Rs 426 to the day’s high of Rs 97,850/kg.

So far in the month, gold prices have increased by Rs 3,259/ 10 gm while silver is up by Rs 7,131/kg.

Spot gold prices remained mostly steady on Monday as Middle East tension eased, but political uncertainty ahead of the US election supported bullions to edge higher.

In the international market, spot gold was trading comfortably around $2,740, slightly up for the day.

US Dollar hit a pause button after rallying to nearly 3-month high on reduced safe haven demand after Israel launched a limited retaliatory strike against Iran. However, the dollar got support from the rising US treasury yields. Further, weakness in the Japanese Yen on reduced chance of an interest rate hike also supported the dollar to hold above 104.30.

Benchmark 10-year US Treasury yield hit 3 month high yesterday, lifted by improved risk sentiments and soft demand for bonds ahead of next week’s US presidential election. The benchmark US Treasury 10-year yield settled near 4.28%, while 2-year treasury yield, which typically moves in step with interest rate expectations, increased to 4.14%.

Today, the US Dollar Index, DXY, was hovering near the 104.32 mark, gaining 0.01 or 0.01%.

On the MCX Gold options side, highest Call OI remained at 78,000 strike, while the highest Put OI remained at 74,000 strike for the 26 November 2024 expiry. On the MCX Silver options side, highest Call OI remained at 100,000 strike, while the highest Put OI remained at 85,000 strike for 26 November 2024 expiry.

“Gold holds modest intraday gains but remains below Friday’s close. The daily chart shows the 20 SMA trending higher, supporting buyer interest, while technical indicators suggest a neutral-to-bearish outlook. Buyers emerged around $2,721.20, near the 23.6% Fibonacci retracement level, with key support at $2,698.66 (38.2% retracement),” said Neha Qureshi Senior Technical & Derivative Analyst, Anand Rathi Commodities & Currencies.

“In the near term, XAU/USD hovers above a mildly bearish 20 SMA on the 4-hour chart. Breaking above $2,745.90 could drive a retest of the record high toward $2,800,” Qureshi added.

Intraday Trading Strategy by Neha Qureshi:

• Sell MCX December gold futures at Rs 78,600 with a stop loss of Rs 78,800 and a price target of Rs 78,000.
• Sell MCX December silver futures at Rs 97,500 with a stop loss of Rs 98,500 and a price target of Rs 96,000.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)