Gold Dips 1% in India While Silver Rises on Global Uncertainty
On October 5, gold prices in India dropped nearly 1% during domestic futures trading, while silver prices rose. The decline in gold came as the US dollar fluctuated and global geopolitical tensions persisted. On the Multi Commodity Exchange (MCX), December gold futures fell ₹1,206, or 0.8%, to trade at ₹1,49,184 per 10 grams. The price had earlier dipped as much as 1.02% to ₹1,48,850 before recovering slightly.
In contrast, silver futures gained 0.49% to reach an intraday high of ₹2,26,999 per kg before settling at ₹2,26,340, up 0.2% from the previous close. Analysts noted that gold’s fall below the ₹1.50 lakh mark has turned that level into a key resistance zone. Immediate resistance is seen at ₹1,51,000-₹1,51,600, with support around ₹1,48,000-₹1,47,300.
Silver has shown relative strength, holding above the ₹2,24,000 support level. Analysts expect immediate resistance at ₹2,27,000-₹2,28,000, with a sustained rise above ₹2,28,000 potentially supporting further gains. The technical outlook for gold remains cautious, with indicators like the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) signaling downside pressure.
The contrasting movements in gold and silver prices reflect similar trends in international markets, where silver has recently outperformed gold. Geopolitical developments, particularly tensions involving Iran, continue to influence precious metal prices. Investors are closely monitoring currency movements and global events for further direction.