The hovered near four-year lows, Mint said. Traders cited waning confidence in the currency. Mint also pointed to a sharp fall in US consumer confidence. It fell to the weakest level in more than 11 years.
Markets now focus on the US Federal Reserve January meeting. Mint said investors widely expect unchanged interest rates. Still, markets also priced in the possibility of rate cuts later in the year.
Analysts urged investors to weigh risk carefully after the latest silver rate today spike. Aamir Makda, Commodity and Currency Analyst at Choice Broking, said charts show early warning signs, Mint reported.
Makda said the relative strength index (RSI) sits in overbought territory across timeframes. In addition, he said a daily RSI divergence has appeared, which he described as a classic red flag. He still described the near-term trend as moderately bullish. However, he flagged resistance for gold near 168,790, which he linked to a 78% trend-based Fibonacci extension.
Makda also said silver may face strong resistance in the 375,000 to 400,000 zone. That range sits close to current levels after the latest MCX silver price jump, which can amplify volatility.
Ravi Singh, Chief Research Officer at Master Capital Services, cautioned against treating gold and silver as pure return plays. He said investors should use the metals for risk management and portfolio diversification, given their high volatility.
Singh said precious metals can hedge inflation, currency weakness, and geopolitical uncertainty. Furthermore, he urged investors to limit exposure and rebalance periodically at elevated levels.
Mint said the views and recommendations came from individual analysts or broking companies. The report also advised investors to consult certified experts before taking investment decisions.
Market attention now stays on the Federal Reserve decision, the US dollar path, and geopolitical risks. Traders will also watch resistance zones after record highs in silver rate and gold price.
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