Gold prices traded lacklustre in the domestic futures market in Friday's morning session, mirroring weak global trends as investors awaited US October non-farm payrolls data which is expected to influence market sentiment by providing further clues to the Federal Reserve's future interest rate decisions.

"Gold prices look set to snap a three-week-winning streak in international markets, having declined nearly 1 per cent for the week so far. Prices rose above the key $2,000-per-ounce level last week after escalating tensions in the Middle East boosted safe-haven demand," reported Reuters.

On Thursday, gold and silver settled with gains in the international markets. Gold December futures contract settled at $1,993.50 per troy ounce up by 0.30 per cent and the Silver December futures contract settled at $22.85 per troy ounce, up by 0.25 per cent.

Gold and silver gained as the US bond yields declined after the FOMC meeting and the US jobless claims showed an increase.

The US Federal Reserve left policy rates unchanged on Wednesday, November 1, at a 22-year high level of 5.25-5.50 per cent.

The US weekly jobless claims data on Thursday showed the number of Americans filing new claims for unemployment benefits increased moderately last week, according to a Reuters report.

"Initial claims for state unemployment benefits rose 5,000 to a seasonally adjusted 217,000 for the week ended October 28. Economists polled by Reuters had forecast 210,000 claims for the latest week," reported Reuters.

Experts are of the view that gold can move up on the expectations that rate hikes are near their end. In the case of low-interest rates, the opportunity cost of holding gold is also lower, making gold more attractive. When interest rates go higher, they make other interest-bearing investments such as bonds more appealing.

Besides, the geopolitical risk due to the Israel-Hamas war is also a significant factor which can support gold prices since gold is considered a safe-haven asset in times of economic uncertainty.

MCX Gold for December 5 delivery traded 0.01 per cent lower at ₹60,902 per 10 grams around 10:40 am.

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What should be your strategy for gold today?

Manoj Kumar Jain of Prithvifinmart Commodity Research expects gold and silver prices to remain volatile in today’s session but they could hold key support levels of $1,968 and $22.40 per troy ounce, respectively, on a closing basis. Jain believes any corrective dips in gold and silver could be a buying opportunity at lower levels.

"Gold has support at $1,980-1,968, while resistance at $2,004-2,022 per troy ounce. Silver has support at $22.60-22.40, while resistance is at $23.05-23.30 per troy ounce," said Jain.

"On the MCX, gold has support at ₹60,720-60,550 and resistance at ₹61,100-61,330 while silver has support at ₹70,950-70,500 and resistance at ₹71,850-72,200. We suggest buying gold and silver on dips for a target of ₹61,200 in gold and ₹72,200 in silver," Jain said.

Rahul Kalantri, VP of Commodities, Mehta Equities expects gold and silver prices to remain volatile in today's session.

"Gold has support at $1,965-1,951, while resistance is at $1,998-2,011. Silver has support at $22.48-22.30, while resistance is at $22.88-23.15. In the Indian rupee terms, gold has support at ₹60,620-60,450, while resistance is at ₹61,050, 61,230. Silver has support at ₹70,750-70,180, while resistance at ₹71,950, 72,630," said Kalantri.

According to brokerage firm SMC Global Research, gold may trade in the range of ₹60,600-61,100, and silver may trade in the range of ₹70,900-71,700, with sideways to bullish bias, but correction is expected from higher levels.

Motilal Oswal Financial Services sees support for MCX Gold at ₹60,750-60,550 whereas resistance is at ₹61,050-61,250. For MCX Silver, support is at ₹70800-70000 whereas resistance is at ₹71,800-72,400, Motilal Oswal said.

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Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.