Mumbai, July 24 (IANS) Gold and silver prices traded lower on Friday, with both precious metals falling by up to nearly 1 per cent as stronger US dollar and escalating geopolitical tensions in the Middle East weighed on investor sentiment.
On the Multi Commodity Exchange (MCX), gold futures for August delivery opened at Rs 1,42,392 per 10 grams, down 0.30 per cent from the previous close of Rs 1,42,821 per 10 grams.
At around 12 pm, the yellow metal fell as much as Rs 1,079 or 0.75 per cent to an intraday low of Rs 1,41,742 per 10 grams. It touched an intraday high of Rs 1,42,518 before trading at Rs 1,42,376, down Rs 445 or 0.31 per cent, at the last count.
Similarly, silver futures for September delivery also opened lower at Rs 2,18,280 per kg, down Rs 1,095 or 0.49 per cent from the previous close of Rs 2,19,375 per kg.
The white metal declined by as much as Rs 2,050 or nearly 1 per cent to hit an intraday low of Rs 2,17,325 per kg. It touched an intraday high of Rs 2,20,000 per kg during the session.
In the international market, precious metals also remained under pressure. COMEX gold was down 0.48 per cent at $4,030 an ounce, while silver slipped 0.41 per cent to $57.80 an ounce.
The commodity market experts attributed the weakness in gold and silver prices to the strengthening US dollar index, which climbed above the 101 mark amid escalating geopolitical tensions between the US and Iran.
From a technical perspective, analysts said MCX gold opened with a gap down and slipped below the Rs 1,42,000 mark, continuing to trade with a weak bias around Rs 1,41,500.
Immediate support is placed at Rs 1,41,500, and a break below this level could drag prices towards the Rs 1,41,000-Rs 1,40,700 zone.
On the upside, immediate resistance is seen at Rs 1,42,700-Rs 1,43,000, followed by the Rs 1,43,700-Rs 1,44,000 range, analysts said adding that the near-term outlook remains weak, with prices needing to reclaim the immediate resistance zone to improve momentum.
For silver, MCX futures also opened with a gap down and continued to trade with a weak undertone. Immediate support is placed in the Rs 2,16,700-Rs 2,16,000 zone, followed by the Rs 2,14,500-Rs 2,14,000 range.
On the upside, resistance is seen at Rs 2,19,000-Rs 2,20,000, while the next hurdle is placed at Rs 2,22,000-Rs 2,23,000. Analysts said the near-term outlook for silver also remains weak unless prices move above the immediate resistance zone.
Additionally, the US-Iran conflict has intensified in recent days, with Iran reportedly targeting US military installations in the Middle East, while the US has continued strikes on Iranian military facilities.
–IANS
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