AHMEDABAD (Commodity Online): MCX Gold rose almost 2% on a weak dollar and renewed risk appetite, but bullion ended off highs as its recovery from the steepest three-day drop.
Precious metals recovered as the U.S. equity market rallied by 1 percent and the euro rose against the dollar. Gold prices gained along with sharp recovery in crude oil futures in evening session.
On Wednesday, Gold future opened slightly higher at 26187 rupees. After opening higher, Gold October delivery contract dropped by 0.89 percent to 25908 rupees per 10 grams.
Despite gold's gains in last session, however, the metal has lost 2-3 percent in the today’s session, as a sharp margin increase on Monday.
In last few days, we have gone back to the traditional dollar positive, Gold negative relationship. Now technically Gold is expected to trade in range of 25500-26500 in coming weeks. Sharp fall below 25000 will drag Gold price till 23000 in coming weeks, informed Amrita Mashar, analyst with Commodity Online.
