Despite conflicting global cues, the price of gold is trading higher on Friday, while the price of silver is up 0.5%. Gold February futures were selling at Rs. 55,383 per 10 kilos on the Multi Commodity Exchange, up Rs. 93 or 0.17%. On the MCX, silver March futures were trading 337 rupees higher at Rs. 68,415 per kilogram. According to Reuters, the price of yellow metal increased globally, on pace to increase for a third consecutive week. Spot gold increased by 0.3% to $1,838.38 per ounce, increasing by around 0.8% so far this week. Futures for U.S. gold increased 0.2% to $1,843.80.
Profit-taking following the recent rise that saw gold reach a six-month high earlier this week and silver an eight-month peak caused gold and silver prices to drop significantly on Thursday. The price of precious metals has also been under pressure due to a sharp increase in the US dollar index and US Treasury yields. According to the U.S. ADP national employment report, 235,000 jobs were added in December, vs a consensus estimate of 153,000.
The stronger-than-expected statistics contributed to a surge in the US dollar index and increased US Treasury yields while simultaneously causing a decline in gold prices. Now, traders and investors are concentrating on the current U.S.The Labor Department’s report on the job situation for December. The technical support and resistance levels for gold are $1818-1805 and $1845-1858, respectively. Support and resistance levels for silver are $22.95-22.72 and $23.55-23.72, respectively. Support and resistance levels for gold in Indian rupees are respectively 55,040-54,850 and 55,440-55,580. Silver’s support and resistance levels are Rs 67,650 and Rs 67,280, respectively said, Rahul Kalantri, VP Commodities, Mehta Equities Ltd