Upside seems limited for MCX Gold; Silver may rally past Rs 71,000-level

The MCX Gold futures are likely to face considerable resistance around Rs 53,500-odd levels; MCX Silver futures can test Rs 71,300 on the upside.

Gold

Bias: Consolidation

Resistance: Rs 53,500

Support: Rs 52,500

Last week, the MCX Gold prices rallied more than Rs 1,100 from the lows of the week to a high of Rs 53,150. The commodity, however, now seems to be facing some resistance around the higher-end of the Bollinger Band on the daily charts.

A study of the daily and weekly charts for Gold futures, indicate likely resistance around Rs 53,500 to Rs 54,000. The key momentum oscillators on the daily and the weekly charts are also indicating of a likely consolidation in the near term.

In case, MCX Gold futures are unable to