Gold and Silver - August 5, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International gold prices are trading flat on Thursday early afternoon trade as hawkish remarks from a top U.S. Federal Reserve strengthened the dollar.

A rising dollar, fuelled by expectations the U.S. Federal Reserve may start tightening policy sooner than previously expected kept upside limited.

However, safe haven appeal for gold kept downside limited amid mounting coronavirus cases in several countries.

Coronavirus cases worldwide surpassed 200 million on Wednesday, with the United States accounting for one in every seven global infections, according to a Reuters tally.

Technically, if LBMA Gold remains below $1818 level we could see a Bearish momentum up to $1805-$1795 levels. Resistance is at $1812-$1820 levels.

Domestic gold prices are trading flat on Thursday early afternoon trade, tracking overseas prices.

Technically, MCX Gold October is holding resistance near 48000 below can take prices up to 47800-47600 levels. Resistance is at 48100-48250 levels.

Elsewhere, international silver prices are trading flat to marginally higher on Thursday early afternoon trade in Asia.

Technically, LBMA Silver holds a resistance of 21-Daily Moving Average at $25.65 and below which could see a downside move up to $25.10-$24.30 levels. Resistance is at $25.77-$26.00 levels.

Domestic silver prices are trading flat to marginally weaker on Thursday early afternoon trade.

Technically, MCX Silver September holds a resistance 68200-69000 levels. Support is at 67100-66700 levels.

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Source : Equity Bulls

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