Gold, silver prices recover after sharp fall on buying at lower levels
However, gold was still trading near a three-month low, while silver remained below ₹2 lakh per kg
 "Gold, silver prices recover after sharp fall on buying at lower levels")
Gold and silver prices recovered on Monday, October 26, as buying emerged at lower levels after a sharp sell-off last week.
However, gold was still trading near a three-month low, while silver remained below ₹2 lakh per kg.
In the global market, gold futures on Comex were trading near $4,025 per ounce, while silver was trading near $54.30 per ounce. In the domestic market, gold futures on the Multi Commodity Exchange (MCX) were trading near ₹1,42,450 per 10 gram at the time of writing, while silver futures were trading near ₹1,96,350 per kg.
Gold prices rise
Gold futures opened higher. On the MCX, the benchmark December gold contract opened ₹277 higher at ₹1,42,301 per 10 gram. The previous close was ₹1,42,024.
At the time of writing, the contract was trading ₹416 higher at ₹1,42,440.
Gold futures had touched a high of ₹1,80,779 per 10 gram earlier this year.
Silver also gains
Silver futures also opened higher. On the MCX, the benchmark December silver contract opened ₹538 higher at ₹1,96,257 per kg. The previous close was ₹1,95,719.
At the time of writing, the contract was trading ₹656 higher at ₹1,96,375.
Silver futures had touched a high of ₹4,20,048 per kg earlier this year.
Gold, silver rise in global market
Gold and silver futures were trading higher in the international market.
On Comex, gold opened at $4,012.20 per ounce. The previous closing price was $4,007.90. At the time of writing, it was trading $18 higher at $4,025.90 per ounce.
Gold prices had touched a high of $5,586.20 per ounce earlier this year.
Comex silver futures opened at $54.29 per ounce. The previous closing price was $53.94. At the time of writing, it was trading $0.36 higher at $54.30 per ounce.
Silver prices had touched a high of $121.79 per ounce earlier this year.
Levels to watch
According to Ajay Kedia, director, Kedia Advisory, gold was technically witnessing long unwinding. Open interest fell 2.54 per cent to 16,222 contracts, while prices declined by ₹1,285.
Gold has immediate support at ₹1,41,200, followed by ₹1,40,370. Resistance is seen at ₹1,42,990 and ₹1,43,950.
A break below support could increase selling pressure, while a sustained move above resistance could strengthen the recovery.
Silver was also witnessing long unwinding from a technical perspective. Open interest fell 11.35 per cent to 16,877 contracts, while prices declined by ₹3,880.
Silver has immediate support at ₹1,92,470, followed by ₹1,89,230. Resistance is seen at ₹1,98,640 and ₹2,01,570.
A break below support could deepen the decline, while a sustained move above resistance could lead to further recovery.
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