Gold and silver traded in opposite directions on Monday, with gold falling nearly 1 per cent while silver gained amid movements in the US dollar and continued geopolitical uncertainty.
On the Multi Commodity Exchange (MCX), December gold futures were trading at ₹1,49,184 per 10 grams around 10 am, down ₹1,206 or 0.8 per cent from the previous close.
Gold fell as much as 1.02 per cent, or ₹1,540, to an intraday low of ₹1,48,850 per 10 grams. The yellow metal had earlier touched an intraday high of ₹1,51,197, up ₹807 or 0.53 per cent.
Meanwhile, silver futures for December delivery moved higher. Silver gained as much as 0.49 per cent, or ₹1,122, to hit an intraday high of ₹2,26,999 per kg on the commodity exchange.
At the last count, silver was trading at ₹2,26,340 per kg, up ₹463 or 0.2 per cent from the previous close.
Gold and silver had opened at ₹1,51,197 per 10 grams and ₹2,25,900 per kg, respectively.
Gold price outlook
Commodity analysts said gold’s fall below the ₹1,50,000 level has turned the mark into an immediate resistance zone. Resistance is seen at ₹1,51,000-₹1,51,600, followed by ₹1,52,500-₹1,53,000.
On the downside, support for gold is placed at ₹1,48,000-₹1,47,300, followed by ₹1,46,000-₹1,45,300.
The technical outlook for gold remains cautious, with the Relative Strength Index (RSI) at 43 and the Moving Average Convergence Divergence (MACD) indicator in negative territory.
Analysts said gold would need a sustained move above ₹1,50,000 to stabilise, while a break below ₹1,48,000 could expose the contract to levels around ₹1,46,000.
Silver price outlook
Silver continued to outperform gold and remained above the ₹2,24,000 support zone. Analysts see immediate resistance at ₹2,27,000-₹2,28,000, followed by ₹2,31,000-₹2,32,000.
A sustained move above ₹2,28,000 could strengthen silver’s recovery, while a break below ₹2,24,000 could push prices towards ₹2,20,000.
The divergence in domestic bullion prices mirrors international markets, where silver has also been outperforming gold.
Geopolitical risks remain key
Geopolitical developments remain an important factor for bullion markets. US President Donald Trump last week said Washington faced a choice between further military action against Iran and reaching a deal with Tehran.
Investors are closely tracking developments in the Middle East, along with movements in the US dollar, as both factors could influence the direction of gold and silver prices in the near term.