Gold futures slipped 0.31 per cent to Rs 39,788 per 10 grams, while silver futures shed 0.34 per cent to slide to Rs 45,987 per kg.
Brokerage SMC Global said bullion counters may witness some profit booking. Gold can dip towards Rs 39,600 while facing resistance near Rs 40,000, while silver can test Rs 45,800 while facing resistance near Rs 46,500, it added.
Globally, spot gold fell 0.3 per cent to $1,553.27 per ounce by 0133 GMT. On Tuesday, prices rose to a near two-week peak before declining as much as 1 per cent. US gold futures were down 0.3 per cent at $1,553.30.
A Reuters technical analyst said spot gold may revisit its Jan. 14 low of $1,535.63 per ounce, as the downtrend from the Jan. 8 high of $1,610.90 has resumed.
Gold Rates - Spot & Futures (.995 purity) (MCX)
|Date||Gold Spot Price |
Rs/10 grms (AHMEDABAD)
|Gold Future Price |
Rs/10 grms Expiry: 05-Feb-2021
The pattern from $1,535.63 has been confirmed as a zigzag, which consists of three waves that are roughly equal in length. This zigzag basically eliminates the possibility of a gain towards $1,610.90.
The metal is riding on a wave C, the third wave of a three-wave cycle from $1,610.90. This wave may travel into a range of $1,493.20-$1,521.91.
Meanwhile, China's gold consumption fell for the first time in three years in 2019, as high prices and an economic slowdown hit buying in the world's biggest market for the metal.
As for other precious metals, palladium dipped 0.7 per cent to $2,386.00 an ounce, silver fell 0.4 per cent to $17.70 per ounce and platinum slipped 0.7 per cent to $992.15.
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