Gold and silver prices traded in a volatile range on Monday as markets digested last week’s sharp correction, with both metals holding above key support levels despite continued pressure from a stronger US dollar and higher Treasury yields.
COMEX gold traded near $4,580-$4,700, down from highs above $4,900, while MCX gold futures hovered in the ₹1,38,000-₹1,48,000 range after marking all-time highs near ₹1,80,779 last week. COMEX silver traded around $75-$85, significantly below record highs above $121.6, while MCX silver consolidated near ₹2,50,000-₹2,60,000 after touching ₹4,20,048.
“Gold and silver prices fell sharply from their record highs after the US President selected Kevin Warsh as the next Fed Chairman. Investors reacted negatively because Warsh is considered more aggressive on interest-rate policy than earlier leaders,” said Rahul Kalantri, VP Commodities, Mehta Equities Ltd.
“The decline was further supported by a stronger US dollar, higher Treasury yields, and upbeat US inflation data (PPI and core PPI). In India, no change in import duty in the Union Budget removed the domestic premium in bullion,” Kalantri added.
Market observers noted the correction appeared technical rather than structural. “COMEX Gold is trading near the $4,580-$4,700 key reference zone, cooling off after the sharp spike above $4,900. While the broader market trend remains constructive, the recent vertical rally pushed momentum indicators into overbought territory, leading to heat-driven profit booking,” said Ponmudi R, CEO of Enrich Money.
“Despite this, prices continue to hold above major moving averages, indicating that the ongoing correction is technical and orderly rather than trend-reversing. Strong buying interest is emerging in the $4,500-$4,400 support band,” Ponmudi added.
For MCX gold, analysts maintained a cautiously optimistic outlook. “MCX Gold futures are trading near major structural points within the ₹1,38,000-₹1,48,000 range. The broader structure remains bullish, though the market is witnessing sharp intraday swings, reflecting short-term overheating and tactical profit booking after the recent vertical rise,” Ponmudi said.
“The rising channel remains intact, and pullbacks continue to attract buyers, suggesting selling pressure is being absorbed efficiently. The ₹1,43,000-₹1,45,000 zone continues to act as a strong dynamic support,” he added.
Silver markets showed similar patterns of consolidation. “COMEX Silver is trading around key consolidation points in the $75-$85 zone, after testing record highs above $121.6. The metal remains within a broader rising structure, but the recent move left prices overbought, resulting in sharp rise-sharp fall price action driven by aggressive profit booking,” Ponmudi noted.
“Importantly, prices are holding above key moving averages, suggesting the current pause is a healthy consolidation rather than trend exhaustion. Support is placed in the $73-$75 zone,” he said.
Kalantri provided specific technical levels for the week ahead. “Bullion markets remain highly volatile, but silver could find support near $68, while gold may hold around $4,510 this week. Gold has support at $4,655-$4,575, while resistance is at $4,840-$4,950. Silver has support at $74.8-$69.75 while resistance is at $88.15-$93.80,” he said.
For domestic markets, Kalantri added: “In INR gold has support at ₹1,39,650-₹1,36,310 while resistance at ₹1,48,850-₹1,50,950. Silver has support at ₹2,48,810, ₹2,37,170, while resistance is at ₹2,78,810, ₹2,95,470.”
The USD/INR pair traded near 91.64-92.00, providing continued support to domestic bullion prices. “USD/INR is trading near the key 91.64-92.00 reference band, holding firmly within its long-term ascending channel. The firm USD/INR trend continues to amplify MCX bullion prices, even during phases of global profit booking,” Ponmudi said.
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Published on February 2, 2026