MUMBAI (Commodity Online): Spot Gold prices came under pressure and declined sharply by 2.4 percent on Thursday mainly on the back of dollar strength. The yellow metal prices touched an intra-day low of $1709/oz and ended its trading session at the level of $1718/oz yesterday.
On the MCX, gold December contract declined around 1.9 percent on Thursday and touched an intra-day low of Rs28,272/10gm. Depreciation in the Indian Rupee resisted further losses on the domestic bourses yesterday.
Holdings in the SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose sharply by 1 percent from the previous session to a three-month high of 1,289.46 tonnes on 17th November 2011.
Silver
Taking cues from fall in gold prices coupled with dollar strength, spot Silver prices declined sharply by almost 6 percent on Thursday. Silver being an industrial metal also took cues from downside in base metals too which led further downside in the white metal prices.
MCX Silver December contract traded lower by 5.4 percent and touched an intra-day low of Rs53,728/kg yesterday.
Outlook
Gold and silver is expected to trade with a negative bias today on account of a stronger dollar. Silver is also expected to take cues from the downside risk in base metals.
Technical Targets
MCX Gold support at Rs 28160 and Rs 27875 while Resistance at Rs 28560 and Rs 28850
MCX silver support at Rs 52770 and Rs 51480 while Resistance at Rs 55015 and Rs 56300
Source: Angel Commodities
