Gold prices commenced on an upward trajectory on the Multi Commodity Exchange of India on Wednesday following the US’s decision to prolong the ceasefire with Iran. The recent development alleviated worries regarding a possible surge in inflation and the probability of interest rates remaining high for an extended period. On Tuesday, US President Donald Trump announced that the ceasefire with Iran would be extended indefinitely, mere hours before its scheduled expiration. The announcement, however, seemed to be one-sided, lacking immediate confirmation from Iran or US ally Israel regarding their willingness to maintain the truce that commenced two weeks prior.
In the domestic market, MCX silver futures for May 2026 delivery increased by Rs 4,800, or 2%, reaching Rs 2,49,423 per kg. Gold futures for June 2026 delivery increased by Rs 2,000, representing a rise of 1.3%, reaching Rs 1,53,699 per 10 grams. On a global scale, prices for the yellow metal saw an uptick on Wednesday. Spot gold increased by 0.6% to $4,739.94 per ounce as of 0105, rebounding after falling to its lowest point since April 13 in the previous session. US gold futures for June delivery experienced an increase, rising by 0.8% to $4,758.60. In other precious metals, spot silver increased by 1% to $77.47 per ounce.
Manoj Kumar Jain indicated that gold and silver prices are expected to experience volatility this week, influenced by changes in the dollar index, shifts in crude oil prices, and the ongoing uncertainty surrounding the US-Iran peace deal. He observed that gold has support in the range of $4,681 to $4,640 per troy ounce, while resistance is identified between $4,770 and $4,818. Silver exhibits support levels ranging from $74.00 to $70.70, while resistance is observed between $78.80 and $80.40 per troy ounce for the current session.
On the MCX, gold finds support in the range of Rs 1,50,500 to Rs 1,48,800, while resistance is observed between Rs 1,52,800 and Rs 1,54,200. Silver is currently positioned with support levels ranging from Rs 2,40,000 to Rs 2,36,600, while resistance is observed between Rs 2,48,000 and Rs 2,51,500. He recommended that traders maintain long positions in gold as long as it remains above the Rs 1,48,000 level on a closing basis, suggesting profit booking in the Rs 1,54,000 to Rs 1,55,000 range. He also recommended steering clear of new long positions in silver following its breach of the Rs 2,45,000 mark in the prior session.