Gold tests major hurdle at Rs 56,850; Silver likely to play catch-up

The overall bias for Gold prices likely to remain bullish as long as Gold sustains above the Rs 55,700 - Rs 55,400 support zone. This week, Silver prices may look to retest the Rs 70,000-mark.

The MCX Gold and Silver futures exhibited a divergent trend so far in 2023, with the Gold prices gaining more than 3 per cent, while Silver declining over a per cent. As Gold prices have now reached their crucial yearly Fibonacci hurdle, Gold may look to consolidate or take a breather. 

Meanwhile, it seems like, Silver prices may play catch-up and revisit the Rs 70,000-mark this week.

Gold

Bias: Neutral

Last Close: Rs 56,658

Support: Rs 55,700; Rs 55,400

Resistance: Rs 56,850; Rs 56,900

The MCX Gold futures have reached their key yearly Fibonacci retracement level at Rs 56,850. Given the 3.3 per cent rally so far