Silver rate today up 1% on rising US-Iran tensions - Key levels to watch in near term

Silver rate today: Silver prices steadied, rising 1% on MCX on Friday, February 20 amid heightened geopolitical uncertainty between US and Iran. US President Donald Trump said that he would allow only 10 to 15 days for negotiations on a nuclear agreement with Iran. His comments came as American military forces expanded their presence in the region, marking the largest deployment since before the 2003 Iraq war. Gold prices were flat but in the green.

MCX silver rate rose 1% to ₹2,43,874 per kg while MCX gold price was flat, up 0.2% at ₹1,55,365 per 10 gram.

Moreover, both the MCX and the NSE announced the removal of additional margins imposed earlier on precious metals. With effect from Thursday, February 19, exchanges withdrew the extra 3% margin on gold futures contracts across all variants and the additional 7% margin on silver futures contracts, also applicable to all variants.

However, gains in the precious metals were capped as the US dollar strengthened to near a one-month high ahead of a crucial inflation reading scheduled later in the day, which is expected to offer clearer signals on the future direction of US monetary policy.

The dollar was on track to register its strongest weekly performance since October, supported by a series of better-than-expected U.S. economic data, a more hawkish tone from the Federal Reserve, and persistent U.S.–Iran tensions that kept investors cautious.

Meanwhile, mainland China, Hong Kong, Singapore and Taiwan remained closed for Lunar New Year holidays, resulting in thin trading volumes and the potential for heightened price volatility, traders noted.

In global bullion markets, spot silver slipped 0.1% to $78.29 per ounce, while spot gold edged down 0.1% to $4,995.91 per ounce by 0149 GMT. In contrast, U.S. gold futures for April delivery rose 0.3% to $5,013.60. Among other precious metals, spot platinum declined 0.3% to $2,064.27 per ounce, while palladium fell 0.5% to $1,677.19 per ounce.

Key technical levels to watch

According to Renisha Chainani, Head - Research at Augmont, Silver has bounced from its support zone of $70–$90 ( ₹2,25,000). Prices are now heading toward the resistance levels of $85 ( ₹2,68,000) and $90 ( ₹2,85,000). Given the volatility in silver, a buy-on-dips and sell-on-rallies approach remains appropriate within the current trading range.

For the yellow metal, Chainani said, gold has rebounded from its key support level near $4,850 ( ₹1,50,000) and is now gradually advancing toward the resistance zone around $5,100 ( ₹1,60,000). One may consider a buy-on-dips strategy near support levels and book profits on rallies closer to resistance, until a decisive breakout occurs, the expert suggested.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.