Gold price today: Gold rate dropped in the domestic futures market on Thursday (February 5) morning on profit booking amid easing geopolitical risks. A sharp jump in the dollar index also weighed on gold prices.
MCX gold April futures crashed by nearly ₹4,600, or 3% to ₹1,48,455 per 10 grams, while MCX silver March contracts plunged by nearly ₹24,200, or 9%, to ₹2,44,654 per kg.
Gold prices declined after reports suggested the US and Iran have agreed to hold talks in Oman on Friday.
According to news agency Reuters, while Iran is "open to discussing its nuclear programme, the US wants to include a wider range of topics, including Iran's ballistic missiles, its support for armed proxy groups around the Middle East and its treatment of its own people."
Meanwhile, US President Donald Trump said on Wednesday that he had an “excellent” telephonic conversation with Chinese President Xi Jinping, discussing a wide range of bilateral and global issues, including trade, military, Taiwan, the war between Russia and Ukraine, and the current situation with Iran.
The dollar index rose by 0.20% to 97.81, making greenback-backed bullion expensive for buyers in other currencies.
"We expect gold and silver prices to remain volatile this week amid volatility in the dollar index, partial shutdown in the U.S. and geopolitical tensions," said Manoj Kumar Jain of Prithvifinmart Commodity Research.
According to Jain, gold has support at $4,884 and $4,770, while resistance is at $5,000 and $5,145 per troy ounce, and silver has support at $81.20 and $78, while resistance is at $88.80 and $92.40 per troy ounce in today’s session.
MCX gold has support at ₹1,50,500 and ₹1,47,700, and resistance is at ₹1,56,800 and ₹1,60,000, while silver has support at ₹2,61,100 and ₹2,55,000 and resistance is at ₹2,78,000 and ₹2,86,000, said Jain.
Jain suggests buying gold above ₹1,54,000 with a stop loss below ₹1,51,800 for the target of ₹1,56,800 and ₹1,58,500, and buying silver above ₹2,70,000 with a stop loss below ₹2,61,100 for the target of ₹2,78,000 and ₹2,84,000.
Ponmudi R, CEO of Enrich Money, highlighted that MCX gold futures are trading near the ₹1,49,000– ₹1,55,000 zone after a sharp correction from record highs around ₹1,80,000– ₹1,81,000.
"While the earlier rally led to overextended momentum and profit booking, the broader bullish structure remains intact. Prices are holding above key long-term trendlines and major moving averages, indicating the move is a healthy consolidation rather than a trend reversal," said Ponmudi.
"Strong buying interest is seen in the ₹1,45,000– ₹1,48,000 support area. A sustained hold above this base, along with a breakout above ₹1,55,000– ₹1,60,000, could revive upside momentum toward ₹1,65,000– ₹1,75,000, keeping the medium-term outlook positive despite ongoing volatility," Ponmudi said.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
