The prices of precious metals softened last week. Gold ($4,045/ounce) and silver ($57.60/ounce) dropped 0.2 per cent and 1 per cent, respectively. Similarly, in the domestic market, gold futures (₹1,43,376/10 gm) was down 0.6 per cent and silver futures (₹2,17,198/kg) lost 2.2 per cent. Below is an analysis.

Gold futures (Oct) was charting a sideways trend in the narrow band of ₹1,42,500-1,45,000 over the past week. Nevertheless, it was down 0.2 per cent.

The price action suggests that the contract has a new base at ₹1,41,000. If gold futures moves up on the back of this, it can rise to ₹1,47,500. The uptick could extend to ₹1,50,000.

However, if the support at ₹1,41,000 is breached, the contract can fall to ₹1,34,000.

Trade strategy: Traders with high risk tolerance can go long at ₹1,42,000. Target and stop-loss can be ₹1,49,000 and ₹1,39,500 respectively.

However, if the support at ₹1,40,000 is breached, go short with stop-loss at ₹1,42,000 for a target of ₹1,34,000.

Silver futures (Sep), too, was largely trading in a sideways band, although it lost 2.2 per cent for the week. But the chart indicates that the contract has formed a support at ₹2,14,000.

If there is a rebound on the back of this, silver futures can rally to ₹2,27,000. A breakout of this can lift it to ₹2,34,000.

Instead, if the contract breaches the support at ₹2,14,000, it can decline to ₹2,10,000. Support below ₹2,10,000 is at ₹2,00,000.

Trade strategy: Traders with high risk tolerance can buy at ₹2,17,400. Place stop-loss at ₹2,12,000. Book profits at ₹2,34,000.

But if the contract breaks below ₹2,14,000, sell with a stop-loss at ₹2,19,000 for a target of ₹2,00,000.

Published on August 1, 2026