Precious metals are shining bright on the domestic exchanges, with both gold and silver exhibiting strong bullish momentum. According to Abhilash Koikkara, Head of Forex & Commodities at Nuvama Professional Clients Group, the technical structure for both commodities remains firmly positive, pointing towards further potential gains in the near to medium term.
MCX Gold Outlook: Bullish Momentum Intact, Target at ₹137,000
MCX Gold is currently trading in a robust uptrend, characterized by a clear pattern of higher highs and higher lows. This price action, as highlighted by Koikkara, confirms sustained buying interest and reinforces the underlying bullish momentum. The broader trend, therefore, remains decisively upward.
From a technical perspective, a key support level is identified around ₹132,000. This zone has proven to be a reliable base where buyers have consistently stepped in during minor price dips. Any retreat towards this support is expected to attract fresh buying, limiting the downside risk. As long as prices hold above this crucial level, the bullish structure is considered intact.
On the upside, the expert sees potential for MCX Gold to advance towards the ₹137,000 level in the coming trading sessions. This target is in alignment with the prevailing trend's continuation and reflects the current strength in momentum. A sustained move past intermediate resistance could accelerate the upward move further.
MCX Gold Trading Strategy
Current Market Price (CMP): ₹134,000
Target: ₹137,000
Stop Loss: ₹132,000
MCX Silver Outlook: Breakout Signals Further Upside, Target ₹210,000
MCX Silver has delivered a significant technical signal by breaking out of a consolidation phase. Koikkara notes that such a breakout from a period of balance typically leads to a sharp price expansion, indicating the resumption of the prior upward move. This action suggests buyers have regained control, supporting a bullish outlook.
The immediate and vital support for silver is now placed at the ₹199,000 mark. This level, which coincides with the breakout zone, acts as a strong new base. Any corrective dip towards this support is likely to see renewed buying interest, providing stability to prices.
Given the breakout, MCX Silver has the potential to rally towards the ₹210,000 level in the near to medium term. This target is technically derived from the height of the prior consolidation range and matches the current bullish momentum. The outlook remains positive as long as prices trade above the ₹199,000 support.
MCX Silver Trading Strategy
Current Market Price (CMP): ₹203,900
Target: ₹210,000
Stop Loss: ₹199,000
Overall Sentiment and Key Levels to Watch
In summary, the technical setup for both gold and silver on the MCX favors a continuation of the uptrend. For gold, the key level to watch is the ₹132,000 support. A decisive break below this could challenge the bullish view. For silver, the corresponding critical level is ₹199,000.
The broader sentiment remains supportive, driven by the established chart patterns. Investors and traders are advised to monitor these key levels closely while following a disciplined risk management strategy, as outlined in the trading recommendations.
(Disclaimer: The recommendations and views expressed by the expert are their own and do not represent the views of The Times of India. Readers are advised to consult certified experts before making any investment decisions.)
