Gold and Silver Prices Poised for Rise Next Week, Experts Predict Targets

Abhilash Koikkara, Head of Forex & Commodities at Nuvama Professional Clients Group, predicts that gold and silver prices are poised for an upward movement in the coming week. MCX Gold has shown renewed strength after forming a 'doji candlestick pattern' near the ₹1,17,500 support zone, signaling a potential trend reversal. Prices are expected to climb towards the ₹1,25,000 mark, with immediate support identified at ₹1,19,000. A sustained move above ₹1,22,500 could further boost prices. Similarly, MCX Silver has broken out of a consolidation phase and is trading around ₹1,48,000. It is expected to target ₹1,55,000, facing minor resistance near ₹1,50,500, while ₹1,45,000 acts as a crucial support level. Global economic uncertainty, fluctuations in the U.S. dollar, central bank gold purchases, and expectations of slower global rate hikes are supporting this bullish trend. Traders are advised to adopt a 'buy-on-dips' strategy.

Impact This news is highly significant for investors in the Indian commodity market, especially those trading in gold and silver futures. It can influence overall commodity market sentiment and potentially affect portfolio strategies. Rating: 8/10

Difficult Terms Explained: Doji candlestick pattern: A candlestick pattern in technical analysis that indicates indecision in the market, often appearing at the top or bottom of a trend and potentially signaling a reversal. Support zone/level: A price level where a downtrend can be expected to pause due to a concentration of demand. Corrective phase: A temporary price movement against the main trend, usually considered a pause or pullback. Bullish sentiment: A positive outlook or expectation that prices will rise in the market. Buy-on-dips: A trading strategy where an investor buys an asset when its price falls, expecting it to recover. Consolidation: A period where an asset's price trades within a narrow range, indicating a pause in trend before a potential breakout. Global cues: External market signals or events from international markets that can influence domestic market sentiment. Resistance level: A price point at which a security is expected to stop rising.