Gold rate today: Yellow metal trades lower around Rs 47,500 per 10 grams; analysts suggest buy on drop

“On MCX, gold may find support at Rs 47,100 and resistance at Rs 47,850. Support for silver is seen at Rs 62,100 and resistance at Rs 63,600,” Kedia added.

International gold prices hovered above the key psychological level of $1,800 on Tuesday, as the looming threat from the Delta coronavirus variant fanned expectations that the US Federal Reserve might delay dialling back its pandemic-era stimulus, said a Reuters report.

Spot gold eased 0.2 percent to $1,801.65 per ounce, having jumped about 1.4 percent in the previous session. US gold futures were down 0.1 percent at $1,804.10.

The dollar index was steady after falling about 0.6 percent on Monday.

“Gold has started trading above its key psychological level of $1,800/oz basis dollar weakness and on the hope that Federal reserve may take step back on tapering timeline. Technically, bulls have some near-term advantage above $1,800 level and must form a new base around these levels,” said Sandeep Matta, Founder, TRADEIT Investment Advisor.

Market participants will be eyeing on an upcoming economic symposium which could become the new catalyst for gold to surge

“Gold on MCX is also finding its major support on Rs 47,000 and trading with short term bullish technical advantage. The outlook is positive for a precious metal particularly due to weak dollar and increasing cases of delta variant globally,” Matta added.

He advises traders to follow key levels on both sides and accumulate gold on every dip.

Key level for Gold October contract – Rs 47,453

Buy Zone Above – Rs 47,460 for the target of Rs 47,756 - Rs 47,900

Sell Zone Below – Rs 47,450 for the target of Rs 47,300 – Rs 47,050