Page 24 - Bullion World Volume 4 Issue 1 January 2024

Bullion World | Volume 4 | Issue 1 | January 2024

Whether the gold prices breach $2200 and above will Silver
depend on multiple factors going forward, which includes Spot silver prices during 2023 so far traded in between
the behaviour of the US dollar index – how far it will go $20.66 and 25.91 per Oz. As of date (Dec 28) silver spot
down, Geo-political tensions/conflicts, which as usual is trading at $24.25 per Oz.
are difficult to predict, will inflation continue to remain
moderate/or on a soft pedal, which is critical in terms of Silver in the spot weekly continuation is forming higher
US Fed to decide on the quantum of interest rate cuts, lows since March 2020. The current low is $20.66
how the developed countries economy to fare well in H1 formed in October-2023. The downside for 2023 can
of 2024 etc., as we go into 2024. be seen in the region of $22 and 21.55 levels and most
probably holds that support.
Technically in case sustains above USD 2200 per Oz
then one can expect gold prices to move further towards Short-term resistance is seen at around $25.50-26 per
$2350-2390 per oz, which also coincides with the Oz, along with the rising wedge technical formation. If
rectangle formation breakout target. this hurdle is crossed then one can foresee silver prices
MCX: Gold futures in the MCX continuation chart in touching the next higher resistances of $29 to 31 levels.
2023 traded in the region of INR 54,771 and 64,063 per
10 grams. In percentage terms so far, the gains were MCX
around 15 per cent. MCX Silver futures in the continuation traded in the
region of INR 61353 and 78549 per kg so far in 2023.
From the Mar-2023 lows of INR 54,771, gold prices Currently (as of Dec-28th), silver is trading at INR 75,400
swiftly moved higher towards INR 61,845 during May per kg.
2023. Then prices corrected from the highs and reached
the 2023-second low of INR 56,421 during the first week Next resistance is seen at around 78500 and then at INR
of October 2023. Now as of date (Dec-28th) gold prices 81,000. If sustained above then silver prices could gain
in the MCX made a high of INR 63,821, closer to the further and touch a new high in the region of INR 85,000
record high of INR 64,063. and 88,000 per kg during 2024.

Initial resistance is seen at around INR 65,500 and On the lower side, INR 71,000 and 67,500 will act as
then at INR 69,000-70,000, which could act as strong strong support and are unlikely to breach those levels.
resistance. Strong support is seen in the region of INR Overall, silver futures in MCX are most probably to trade
61,000 and 59,000, unlikely to drop further. in the broader region of INR 67,500 and 88,000 per kg
Overall MCX gold futures are to trade in the broader during 2024.
region of INR 59,000 and 70,000 per 10 grams during
2024.

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