Gold Prices Trade Near 151,000 INR as Bearish Bias Persists
The precious metal is testing critical support levels after a sharp pullback from recent highs, with analysts warning of continued downward pressure.
Gold prices are trading near 151,000 INR, a significant drop from the recent range of 164,000 to 166,000 INR. This decline places the metal below its 20-day average, indicating that the daily technical structure has weakened. Analysts from Motilal Oswal Financial Services Ltd. describe the current outlook as tilted toward bearishness. The market is currently under corrective pressure following the sharp rejection from higher levels.
The Bollinger Bands framework suggests that recovery attempts face immediate resistance. The middle band sits at 155,728 INR, while the upper band is at 163,730 INR. The lower band is positioned at 147,726 INR. A key downside support zone has emerged between 147,500 and 148,000 INR. Conversely, the range of 155,500 to 156,000 INR acts as the primary hurdle for any meaningful price recovery.
Fibonacci levels define current trading range
Fibonacci retracement calculations based on the move from 140,000 to 166,000 INR show specific technical levels. The 23.6% retracement is at 159,900 INR, and the 38.2% level is at 156,100 INR. The 50% retracement sits at 153,000 INR, while the 61.8% level is at 149,900 INR. Gold has already moved below the 50% retracement mark. It is now testing the 61.8% region, making the 149,500 to 150,000 INR zone critical for this week.
Support zones dictate potential price path
Holding the 149,500 to 150,000 INR zone could trigger a recovery toward 153,000 INR. A stronger rebound might reach 155,700 to 156,000 INR. However, a sustained break below 149,500 INR exposes the 147,700 INR level. Further downside risk points to a range of 144,000 to 145,000 INR. The weekly bias remains cautious to bearish as long as prices stay below 155,700 INR.
Resistance levels remain firmly established
Immediate support is located at 149,500 to 150,000 INR. Secondary support levels are at 147,700 INR and the 144,000 to 145,000 INR band. Resistance is identified at 153,000 INR, followed by 155,700 to 156,000 INR. The highest resistance level is at 160,000 INR. These figures outline the current trading boundaries for gold. Market participants monitor these levels closely for directional cues.
