Bias remains negative for MCX Gold, Silver futures; Key levels to watch out

The MCX Gold futures may slide towards the 200-DMA at Rs 48,840 in the near term; while the broader trend indicates a downside target of Rs 53,000 for MCX Silver futures.

Gold
Bias: Consolidation likely to continue
Last close: Rs 49,909
Resistance: Rs 50,265
Downside Potential: Rs 48,840

The MCX Gold June futures as anticipated at the start of the month dipped below the Rs 50,000-mark as selling pressure outweighed the buying support. In the process, the commodity closed below its 100-DMA (Daily Moving Average) for the first time since February 7, 2022.

The price-to-moving averages action continues to remain moderately in favour of the bears, as Gold prices are currently trading below the 20-DMA, 50-DMA and 100-DMA. The next logical support for Gold futures now seem to be the 200-DMA