Gold and silver futures displayed contrasting movements on the Multi Commodity Exchange (MCX) as investors adjusted positions following record-breaking sessions driven by geopolitical uncertainties and safe-haven demand.

MCX Futures Performance

The precious metals market showed mixed signals with gold retreating from recent highs while silver maintained upward momentum.

Gold February futures opened lower at ₹1,41,731 per 10 grams, declining ₹301 or 0.21% after breaching lifetime highs in the previous session. Silver March futures moved against the trend, edging up by ₹399 or 0.15% to trade at ₹2,69,369 per kilogram.

Previous Session Gains

The current price action follows a strong rally in the previous session when both metals posted significant gains amid heightened geopolitical tensions.

The sharp uptick reflected strong safe-haven buying driven by escalating conflict in Ukraine, unrest in Iran, and broader geopolitical uncertainty, according to analysts.

International Market Trends

International gold prices also eased after hitting record levels, with investors booking profits amid ongoing uncertainties. Spot gold declined 0.40% to $4,576.79 per ounce as of 0134 GMT, while U.S. gold futures for February delivery slipped 0.60% to $4,585.40. The metal had climbed to a record peak of $4,629.94 in the previous session.

Trading Recommendations

Market expert Manoj Kumar Jain of Prithvifinmart Commodity Research provided specific trading ranges and strategies for both metals:

Gold Trading Levels:

• Support: ₹1,40,400 to ₹1,39,100
• Resistance: ₹1,43,300 to ₹1,44,500
• Buy strategy: Around ₹1,40,400 to ₹1,39,500 with stop loss at ₹1,38,200
• Targets: ₹1,42,500, ₹1,44,000, and ₹1,45,500

Silver Trading Levels:

• Support: ₹2,65,500 to ₹2,61,000
• Resistance: ₹2,74,000 to ₹2,80,000
• Buy strategy: Around ₹2,60,000 to ₹2,55,000 with stop loss below ₹2,48,000
• Targets: ₹2,70,000, ₹2,75,000, and ₹2,80,000

Physical Gold Rates Across Major Cities

Physical gold prices varied across major Indian cities, reflecting regional market dynamics.

Jain pointed to growing optimism around potential U.S. Federal Reserve rate cuts as an additional factor supporting precious metals, noting that portfolio diversification and ETF buying have pushed both gold and silver to record highs. He expects silver to maintain support near $70 per troy ounce and gold around $4,380 per troy ounce on a closing basis, while acknowledging that volatility remains high in both markets.

Silver futures experienced a marginal decline on the Multi Commodity Exchange (MCX) on Tuesday, January 13, as investors engaged in profit booking following the precious metal's record-breaking performance in the previous session. The white metal opened in negative territory, reflecting market participants' decision to capitalize on recent gains.

Price Movement and Market Performance

Silver futures demonstrated the following price action on MCX:

The decline represents a modest correction after the precious metal achieved record highs during Monday's trading session. The profit booking activity indicates that investors are taking advantage of the recent price appreciation to secure gains.

Market Context

The current price movement follows a pattern typical of commodity markets, where record highs often trigger profit-taking activities among traders and investors. The white metal's performance on Tuesday reflects the natural market dynamics that occur after significant price milestones are reached.

The marginal nature of the decline suggests that while some investors are booking profits, the overall market sentiment toward silver remains relatively stable. The 0.10% decrease indicates measured profit-taking rather than aggressive selling pressure.

Trading Activity

The opening in negative territory on Tuesday contrasts with the strong performance that led to record highs in the previous session. This shift demonstrates how quickly market sentiment can change as investors reassess their positions following significant price movements.

The current trading pattern reflects typical market behavior where profit booking becomes prevalent after achieving new price milestones, creating temporary downward pressure on commodity prices.