Gold price today: Rates volatile on MCX amid profit booking at record highs— Time to buy the yellow metal now?

Gold price today: The rates of gold and silver traded volatile in the domestic futures market on Tuesday morning (January 13) as weak spot demand and the dollar's rise against its peers triggered profit booking in the precious metals, which are currently at record high levels. On the other hand, increased geopolitical risks and expectations of at least two rate cuts by the US Federal Reserve this year supported prices.

MCX gold February futures were 0.12% down at ₹1,41,863 per 10 grams, while MCX silver March delivery was 0.20% up at ₹2,69,507 per kg at 9:10 am.

The dollar index rose by more than 0.10%, trading near its one-month high level after the Trump administration initiated a criminal investigation into Federal Reserve Chair Jerome Powell.

On Monday, January 12, MCX gold February delivery hit an all-time high of ₹1,42,500 per 10 grams, and MCX silver March delivery hit its record high of ₹2,71,352 per kg. Finally, MCX gold settled at ₹1,42,032 per 10 grams, rising over 2% and MCX silver March futures contract settled at ₹2,68,970 per kilogram, clocking a solid gain of more than 6% on Monday.

International gold prices also declined on Tuesday, a day after breaching $4,600 per troy ounce for the first time ever.

Safe-haven buying, driven by increased geopolitical tensions, remains a key support for precious metals.

US President Donald Trump has threatened that any country that does business with Iran will face a 25% tariff.

"Escalation in the Russia-Ukraine war, violent protests in Iran and the U.S. President’s ambition to take over Greenland are increasing global uncertainty and supporting safe-haven buying for both precious metals," said Manoj Kumar Jain of Prithvifinmart Commodity Research.

Expectations of further rate cuts by the US Fed and strong buying of exchange-traded funds (ETFs) by retail investors are also driving gold and silver prices higher.

According to news agency Reuters, global brokerages such as Goldman Sachs and Morgan Stanley expect the US Fed to deliver two 25-basis-point rate cuts each in June and September.

Is it the right time to buy gold?

As the medium to long-term outlook for gold remains positive, experts recommend buying the precious metals on dips.

However, experts say that intraday traders must keep the support and resistance levels of the precious metals before making a move.

Jain suggests buying gold on dips around ₹1,40,400 and ₹1,39,500 with a stop loss of ₹1,38,200 for the target of ₹1,42,500, ₹1,44,000, and ₹1,45,500 and buying silver around ₹2,60,000 and ₹2,55,000 with a stop loss below ₹2,48,000 for the target of ₹2,70,000, ₹2,75,000, and ₹2,80,000.

According to Jain, gold has support at $4,580 and $4,555, while resistance is at $4,640 and $4,700 per troy ounce, and silver has support at $81.40 and $78, while resistance is at $88.80 and $92 per troy ounce in today’s session.

On the MCX, gold has support at ₹1,40,400 and ₹1,39,100 and resistance is at ₹1,43,300 and ₹1,44,500, while silver has support at ₹2,65,500 and ₹2,61,000 and resistance is at ₹2,74,000 and ₹2,80,000.

According to Jigar Trivedi, Senior Research Analyst at Reliance Securities, MCX gold February futures may appreciate to the ₹1,42,500 per 10-gram mark.

Rahul Kalantri, VP of commodities at Mehta Equities, said gold has support at $4,520 and $4,455 while resistance is at $4,640 and $4,690. Silver has support at $83.10 and $80.75, while resistance is at $88.15 and $89.40.

In INR gold has support at ₹1,39,550 and ₹1,37,310 while resistance is at ₹1,44,350 and ₹1,46,670. Silver has support at ₹2,60,810 and ₹2,54,170 while resistance is at ₹2,71,810 and ₹2,74,470, said Kalantri.

Read all market-related news here

Read more stories by Nishant Kumar

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.