MUMBAI (Commodity Online): Gold prices are seen on negative territory on Wednesday due to profit taking at higher levels from its last session’s higher levels in the domestic futures market. Global gold futures are also trading in sluggish manner.
Indian gold futures also glittered striking new high of Rs 16639 per 10 grams on the domestic multi commodity exchange. The drop in the Indian Rupee from the below 46 a dollar level to above 47 levels today also helped the commodity score better.
MCX gold December contract opened down by Rs.73 at Rs.16,555/10gm. The contract saw movement between Rs.16,540-Rs.16,588/10gm. At 10.26 am IST, the contract traded down by Rs.33 at Rs.16,585/10gm. Total volumes in December contract recorded 2388 lots.
Trade sitting at the comfort of home. Start with a mere 50$Now support for the gold MCX is seen at 16271 and below could see a test of 15945. Resistance is now likely to be seen at 16781, a move above could see prices testing 16965.
Gold stormed to record highs following news that India's central bank bought 200 metric tons of the precious metal from the International Monetary Fund last month. Gold opened on its lows at 16129.
Despite moderate dollar and equity market activity, gold shot up, triggering stops, before losing steam at the resistance level of 16500. As the session continued, good buying pushed the market higher reaching an all time high of 16639. Profit taking pushed the metal down to close at 16597.
