Gold price prediction today: Will gold, silver price rally on May 6, 2026 sustain? Check near-term outlook

We see the current rebound in Gold to extend towards the initial resistance of $4,700 and then reverse the course, says Anand Rathi Shares and Stock Brokers. (AI image)

Gold price prediction today: Any upside in gold and silver prices may face resistance at higher levels, says Vedika Narvekar, Research Analyst – Commodities & Currencies, Anand Rathi Shares and Stock Brokers.Gold prices continued to decline last week, with international spot falling around 2% to near $4,614/oz, while MCX gold weakened 0.80% to Rs 1,51,352. This has reduced gold’s gains for the year to 7% suggesting a cooling phase after the strong rally earlier in 2026. Notably, this drop has come despite ongoing tensions around the Strait of Hormuz, showing that macro factors are currently driving gold more than safe-haven demand. Higher oil-driven inflation pushed US yields up (30Y ~5.03%, 2Y ~3.99%) and delayed Fed rate-cut hopes exerting pressure on gold.On the positive side, demand remains strong, as per the World Gold Council. Global gold demand stood at 1,231 tonnes (+2% YoY), with value jumping 74% to $193 billion, supported by bar & coin demand of 474 tonnes (+42%), ETF inflows of 62 tonnes, and central bank purchases of 244 tonnes (+3%), as per the World Gold Council.In India, total demand rose to 151 tonnes (+10% YoY), led by investment demand of 82 tonnes (+54%), while jewellery demand fell to 66 tonnes (-19%), indicating a clear shift toward investment despite higher prices. Overall, this shift toward investment demand is helping support gold prices in the medium term, even as short-term pressure continues. Focus for the Week:Gold entered this week with a bearish bias, but has rebounded strongly after the US President signaled “great progress” in talks with Iran. Prices are up 0.50% so far this week. However, despite the US downplaying a return to war, continued incidents near the Strait of Hormuz and uncertainty over a deal are keeping inflation concerns elevated, raising expectations of rate hikes by the Federal Reserve and putting pressure on gold, which has already fallen over 12% since late February. At the same time, markets will closely track US macro data, including non-farm payrolls, unemployment trends, and updates on the US Treasury’s borrowing plans, alongside commentary from Federal Reserve officials. Any signs of easing inflation or softening growth could provide support to gold, while continued strength in yields and the dollar may keep prices under pressure.Technical Levels & Near-Term OutlookGold (Spot) CMP: $4,560

MCX Gold CMP: Rs 149,750

Overall, we see the current rebound in Gold to extend towards the initial resistance of $4,700 and then reverse the course considering ongoing geopolitical developments and macroeconomic uncertainty keeping the short term trading range of $4,700 and $4,450 intact. While short term upside appears capped by higher yields and a firm dollar, the broader long-term outlook for gold remains constructive, supported by resilient investment demand, continued central bank buying, and persistent global uncertainties.Talking about Silver, the rally, which began in 2025 and peaked in late January, was driven by expectations of multiple rate cuts in 2026. With those expectations now fading and the Federal Reserve signaling higher-for-longer rates, silver is likely to struggle to sustain at higher levels in the near term.International spot silver has also rebounded and is trading near $75.80 (Rs 2,51,460). The metal is currently close to its strong resistance level of $76 and has the potential to test $78/$80 if this level is breached. However, any reversal from here could push prices back toward $73/71.On the MCX, silver is trading around Rs 2,51,460, near strong resistance at Rs 2,52,000. A breakout above this level could take prices toward Rs 2,58,500, while failure to sustain above it may lead to a pullback toward Rs 2,42,000 and Rs 2,35,400.(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India.)