Bias negative for MCX Gold below Rs 50,500; Silver faces multiple hurdles

On the downside, near support for Gold futures seen at Rs 49,860, below which re-test of Rs 48,900-level seems likely; Silver futures face an uphill task of conquering multiple hurdles on the upside.

Despite the sharp pull-back in Gold prices, the overall bias for MCX Gold October futures remains negative. The contract needs to sustain above Rs 50,500-level for the bias to turn favourable. On the other hand, Silver futures have managed to sustain above the 20-DMA for the last three weeks. While, the bias seems tentatively positive, the contract has an uphill task of conquering multiples hurdles on the upside.

Gold

Bias: Negative

Last Close: Rs 50,027

Support: Rs 49,860; Rs 48,900

Resistance: Rs 50,500; Rs 51,100

Despite the sharp 3.5-per cent rally in the latter half of last week, the overall bias for MCX Gold