Silver rate today in India is below ₹2.40 lakh. Is this the right time to buy the white metal?
MCX silver prices fell by 1.17% to ₹2,37,100 per kg amid cautious market sentiment. Experts predict continued pressure on prices due to weak safe-haven demand and a strong US dollar, with immediate resistance at ₹2,46,500 and support at ₹2,36,000.
MCX silver prices witnessed weakness in today’s session, reflecting cautious sentiment in the commodities market. MCX silver futures for May expiry were trading at around ₹2,37,100 per kg, down by ₹2,818 or 1.17%. The metal opened at ₹2,35,850 and touched an intraday high of ₹2,37,589, while the day’s low stood at ₹2,35,133, indicating a volatile trading range.
Experts believe that silver prices on the Multi Commodity Exchange (MCX) are expected to remain under pressure in the near term, tracking weaker safe-haven demand amid fragile ongoing ceasefire negotiations and a firm US dollar.
In the physical market, domestic silver prices are near ₹255,000/kg as of April 9, reflecting a broader cooling trend after recent sharp swings.
Further, experts added that macroeconomic indicators are still unfavourable. A strong dollar and high US yields put strain on gold, while decreasing geopolitical tensions are lowering defensive investments. Traditionally, times of reduced conflict have triggered short-term sell-offs in precious metals.
Meanwhile, a rebound in oil prices alongside a stronger dollar and rising bond yields added pressure on silver. The broader risk-on sentiment in equities also triggered profit booking, limiting further upside in prices, according to analysts.
In the international market, Silver slipped to around $73.5 per ounce on Thursday after a volatile session where prices had surged 6.3% following the ceasefire announcement before giving back most gains.
Technical outlook and strategy
According to Jigar Trivedi, Senior Research Analyst at IndusInd Securities, MCX silver faces immediate resistance at Rd. 2,46,500, followed by Rs. 2,50,000. On the downside, key support is seen at Rs. 2,36,000; a break below this could extend losses toward Rs. 2,34,500.
On the strategy front, Trivedi advised an adopt a sell-on-rise approach below ₹2,40,000, targeting ₹2,36,000 and ₹2,34,500 a kg.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.