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Gold, Silver Prices Fall 1% as Profit Booking Offsets Safe-Haven Demand

Gold and silver prices on the Multi Commodity Exchange declined by around 1% on Friday as investors engaged in profit booking. Analysts note that while MCX gold is trading above a key support level, it requires a breakout above Rs 1,53,000 to confirm a bullish trend. Similarly, silver is holding above support but faces resistance at higher levels. The pressure on precious metals comes as investors shift to riskier assets, though geopolitical uncertainty may provide some price support.

Key Points: Gold, Silver Prices Decline on MCX Amid Profit Booking

  • MCX gold down 0.56%
  • Silver futures fell 0.7%
  • Profit booking offsets demand
  • Analysts cite key price levels
  • Geopolitical tensions limit downside
2 min read

Gold, silver decline nearly 1 pc as profit booking offsets demand

MCX gold and silver prices fell nearly 1% as investors booked profits. Analysts see key support and resistance levels for the precious metals.

"A sustained move above Rs 1,53,000 can revive bullish momentum towards Rs 1,55,000 - Analysts"

New Delhi, April 10

Gold and silver prices witnessed a decline of around 1 per cent on Friday on the Multi Commodity Exchange, as investors booked profits amid easing safe-haven demand.

MCX gold declined 0.56 per cent to hit an intra-day low of Rs 1,52,561 per 10 grams, while silver futures (May 5) plummeted 0.7 per cent by logging an intraday low of Rs 2,42,067 per kg against the previous close.

The yellow metal touched an intraday high of Rs 1,52,990, a decrease of 0.28 per cent or Rs 444. It was trading at Rs 1,52,810, down Rs 624 or 0.41 per cent at 11:20 am.

On the other side, the white metal touched an intraday high of Rs 2,43,704, up 0.02 per cent or Rs 64. At the last count, it was trading at Rs 2,42,899, down Rs 869.00 or 0.36 per cent.

According to analysts, MCX Gold is trading above Rs 1,52,500 with gradual buying at lower levels. "The interest is visible, but momentum is still not strong enough to confirm a trend. A sustained move above Rs 1,53,000 can revive bullish momentum towards Rs 1,55,000," they said.

On the downside, a break below Rs 1,52,000 can drag prices towards Rs 1,50,000 and Rs 1,48,000. The bias remains mildly positive, though a confirmed breakout is needed to sustain the move higher, they added.

MCX Silver is holding above Rs 2,42,000, supported by both safe-haven demand and industrial strength.

"However, the price action is still cautious. Resistance is placed at Rs 2,45,000-Rs 2,47,000, according to the analysts. They further stated that a breakout can push prices towards Rs 2,50,000-Rs 2,52,000. On the downside, a break below Rs 2,40,000 can trigger selling towards Rs 2,36,000-Rs 2,35,000.

Precious metals have been under pressure in recent sessions as investors shift towards riskier assets such as equities, following signs of de-escalation in geopolitical tensions.

However, continued uncertainty around the US-Iran situation could limit the downside in precious metal prices.

- IANS

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Reader Comments

S
Sarah B
Interesting to see how global risk sentiment directly impacts our MCX prices. The analysts' note about needing a confirmed breakout above 1,53,000 is key. The market seems to be in a wait-and-watch mode.
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Priya S
Silver at 2,42,000 per kg still feels very high for small artisans and jewellers. These fluctuations make it so hard to price our products stably. Hope it stabilises soon.
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Aman W
Profit booking is natural after the recent run-up. Smart move by investors. The real test is the Rs 1,52,000 support level mentioned. If it holds, the long-term trend is still up. Good analysis in the article.
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Kavya N
For the average Indian family saving in gold, these daily ups and downs don't matter much. We buy for security and for occasions like weddings. The 10-year trend is what gives us peace of mind.
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Michael C
While the analysis is technically sound, I respectfully feel it focuses too much on short-term MCX trading. For most Indians, physical gold and silver are non-financial, cultural assets. The article could briefly acknowledge that perspective too.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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