KARACHI: Gold prices in Pakistan fell on the third day of Eid holidays, with the per tola rate declining by Rs500, the All Pakistan Gems and Jewellers’ Association said on Friday.
Domestic Price Drop
According to the association, the price of gold per tola stood at Rs474,862 after the decline. The price of 10 grams of gold also dropped by Rs429 to Rs471,017, it said.
International Market Decline
In the international market, gold prices fell by $5 to $4,525 per ounce, the association added.
Technical Analysis
Gold prices are approaching a critical technical zone that analysts say could determine whether the precious metal extends its losses or stages a recovery. Gold came under pressure earlier this year after a sharp rally was followed by a steep decline on January 30, forming what technical analysts describe as a “blow-off top” — a pattern often associated with the end of a strong upward trend.
Since then, repeated recovery attempts have failed to sustain momentum, with gold forming lower highs, a signal commonly viewed as bearish in technical trading.
Key Support Levels
According to LSEG data, gold is now trading near its 200-day moving average at around $4,394. Analysts consider the 200-day moving average an important indicator for identifying longer-term market trends by smoothing out short-term price fluctuations. The importance of the current level is reinforced by its proximity to October’s peak near $4,381.21 and the lower Bollinger band around $4,417, both closely watched technical markers.
Outlook
Analysts say a clear break below this support area could increase expectations of a decline toward March’s low of $4,097.99 or lower. However, technical indicators also suggest continued competition between buyers and sellers around current price levels. A move above this month’s high of $4,773.14 could ease concerns about further downside pressure and potentially support a broader recovery in gold prices.
The domestic gold market remained relatively quiet due to the Eid holidays, with limited trading activity. Market participants are closely monitoring international price movements for further direction. The rupee’s stability against the dollar has also helped keep domestic prices aligned with global trends. Jewelers expect trading to resume normal volumes once the holiday period concludes. The association has advised buyers to check official rates before making purchases to avoid overcharging.
