Gold, silver trade flat in early trade; 28,350/ 28,000 key support levels for gold today

Precious metals gold and silver opened on a flat note on Tuesday with marginal losses on account profit booking by investors amid mixed global cues. Gold on the Multi Commodity Exchange (MCX) was trading 0.02 per cent, or Rs 6, down at Rs 28,730 per 10 gram in early trade, while silver was trading 0.03 per cent, or Rs 13, down at Rs 40,659 per 1 kg.

Gold prices advanced at the domestic bullion market on Monday on fresh buying by stockists and investors amid bullish global cues. MCX gold settled 0.49 per cent higher at Rs 28,737 per 10 gm on Monday. Silver closed 0.45 per cent up at Rs 40,679 per 1 kg.

Rohit Gadia, founder and Chief Executive Officer, CapitalVia Global Research, said, “For Tuesday, Rs 28,350/ 28,000 per 10 gm will act as the major support levels where as Rs 29,270/ 29,700 will act as the major resistance levels for the yellow metal. Silver MCX December futures also sustaining below its important resistance level of Rs 41,500 per 1 kg, today if it sustain below the level of Rs 40,800, then it can test the levels of Rs 39,700 on downside.”


SMC Investment and Advisors in a research note said, “Bullion counter opened on a flat note tracking mixed overseas clues. Gold can move in range of Rs 28,500-28,900 while silver can move in range of Rs 40,400-41,000 in the near term. Gold has slumped more than 6 per cent this month as US President-elect Donald Trump’s pledge to increase infrastructure spending boosts speculation that the US Federal Reserve will raise interest rates in December, curbing demand for assets that do not provide yield.”

Meanwhile, domestic equity market was trading firm in morning trade. The benchmark BSE Sensex climbed over 150 points on account of buying on the frontline bluechip counters amid mixed Asian cues.