Home/ Markets / Stock Markets/  Gold rate today rebounds on ease in US dollar. Buy, sell or hold?
Back

Gold rate today rebounds on ease in US dollar. Buy, sell or hold?

Gold rate today has immediate support placed at $2,005 levels and it is facing hurdle at $2,040 levels, believe bullion market experts

Silver rate today has immediate hurdle at  ₹78,000 per kg mark and any convincing move above the same would be construed as a bullish signal and lead to an extension of the up move, say experts. (AFP)Premium
Silver rate today has immediate hurdle at 78,000 per kg mark and any convincing move above the same would be construed as a bullish signal and lead to an extension of the up move, say experts. (AFP)

Gold rate today bounced back after ease in US dollar rate against major global currencies in early morning session. Gold future contract for June 2023 on Multi Commodity Exchange (MCX) opened higher at 60,783 per 10 gm and went on to hit intraday high of 60,848 levels within few minutes of market opening. Spot gold price too opened higher and climbed to intraday high of $2,022.79 per ounce levels.

Like gold, silver rate today ascending during morning deals after gap up opening. Silver price today opened higher at 77,248 and went on to high intraday high of 77,317 per kg. In international market, silver price opened higher and went on to hit intraday high of $25.708 per ounce.

US dollar holds key

Speaking on the reason for bounce back in gold and silver prices, Anuj Gupta, Vice President — Research at IIFL Securities said, “Gold and silver prices came under pressure on Friday after strong US non-farm payroll data for April that signals strong labour market. This fueled US dollar prices and treasury yield that put yellow and white metal under pressure. However, US dollar price has eased today and Dollar Index has come below 101 level once again and hence bulls are again buying gold as they still seeing the yellow metal as safe haven."

Expecting this gold price rally to further continue, said, “Despite heavy sell off last weekend, on the daily chart, gold prices are still trading above the 20 and 60 EMA, indicating a positive market sentiment. However, it is worth noting that a large red candle has formed on the daily chart, and the price has closed below the previous session's low. Furthermore, the RSI is currently below its reference line, indicating a bearish outlook for gold prices. Based on these factors, traders may consider selling gold on rallies for intraday trades. Immediate resistance is seen around the $2,040 level and support is placed around $2,005."

Outlook for gold, silver

On outlook for gold and silver price, market expert Sugandha Sachdeva said, “Gold price outlook remains positive in the short term as long as prices are holding above 59,500 per 10 gm mark or $1,975 per ounce on a closing basis. For silver, prices have an immediate hurdle at 78,000 per kg mark and any convincing move above the same would be construed as a bullish signal and lead to an extension of the up move, else it could drift lower to find support around the level of 74,400 per kg in coming days."

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 taking any investment decisions.

ABOUT THE AUTHOR
Asit Manohar
Chief Content Producer at Live Mint Digital Team
Know your inner investor Do you have the nerves of steel or do you get insomniac over your investments? Let’s define your investment approach.
Take the test
Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Updated: 08 May 2023, 09:38 AM IST
Recommended For You
GENIE RECOMMENDS

Get the best recommendations on Stocks, Mutual Funds and more based on your Risk profile!

Let’s get started
×
Get alerts on WhatsApp
Set Preferences My Reads Watchlist Feedback Redeem a Gift Card Logout