Gold and silver prices opened higher for the second straight day on the MCX on Tuesday amid signs of renewed diplomatic efforts between the U.S. and Iran. However, investor sentiment remained cautious after Yemen's Houthis threatened to impose a naval blockade on Saudi Arabia, raising concerns over another potential spike in crude prices. In the domestic market, MCX silver futures for September 2026 delivery were up Rs 3,109 at Rs 2,21,509 per kg. Gold futures for August 2026 delivery gained by Rs 1,000 to Rs 1,42,390 per 10 grams. With today’s increase, the two are up for a second session in a row. Oil prices slipped as markets balanced reports of mediation efforts between Washington and Tehran against fresh exchanges of attacks between the two sides and the Houthis' threat to blockade Saudi Arabia.A successful Houthi blockade of the Bab el-Mandeb Strait could disrupt one of the world's key oil shipping routes, potentially sending crude prices sharply higher, disrupting fuel supplies and adding pressure on the global economy.The announcement came despite indications that Iran and the U.S. are looking to revive diplomatic talks to prevent further escalation after a series of attacks severely undermined the interim agreement signed last month.Iran's Foreign Ministry said mediators had presented "proposals" to Tehran, suggesting diplomatic engagement is continuing, although it did not disclose further details.The recent escalation in the Middle East pushed oil prices to their highest level in more than a month on Monday. The resulting inflation concerns have prompted a growing number of policymakers to argue that interest rates may need to remain higher, setting the stage for a closely watched debate at the Federal Reserve's next policy meeting.Higher interest rates tend to weigh on gold, as they increase the opportunity cost of holding the non-yielding precious metal.Also read:Bought gold and silver at the top? Here's what experts suggest after prices plunged up to 50% from JanuaryGold, silver international pricesSpot gold rose 0.5% to $4,023.56 per ounce as of 0146 GMT, while U.S. gold futures for August delivery gained 0.3% to $4,028.Among other precious metals, spot silver climbed 0.9% to $56.93 per ounce, platinum slipped 0.2% to $1,591.22, while palladium added 0.3% to $1,256.68.How should you trade gold?According to Manoj Kumar Jain of Prithvi Finmart, gold has support at $3,989-3,945 per troy ounce, while resistance is seen at $4,040-4,074. Silver has support at $56.20-55.50 per troy ounce and resistance at $57.70-58.50. On the MCX, gold has support at 1,40,850-1,40,400 and resistance at 1,42,000-1,43,650, while silver has support at 2,16,000-2,14,400 and resistance at 2,20,000-2,23,100. He advised long-term investors to accumulate gold and silver through SIPs during the current correction, while traders should book profits on every rise and maintain a stop loss below the stated support levels on a closing basis.Read more: Gold sitting idle at home? Here's how it could earn you an income and what to watch out forGold rates in physical marketsGold Price today in DelhiStandard gold (22 carat) prices in Delhi stand at Rs 1,05,328/8 grams while pure gold (24 carat) prices stand at Rs 1,14,896/8 grams.Gold Price today in MumbaiStandard gold (22 carat) prices in Mumbai stand at Rs 1,05,760/8 grams while pure gold (24 carat) prices stand at Rs 1,15,376/8 grams.Gold Price today in ChennaiStandard gold (22 carat) prices in Chennai stand at Rs 1,05,208/8 grams while pure gold (24 carat) prices stand at Rs 1,14,776/8 grams.Gold Price today in HyderabadStandard gold (22 carat) prices in Hyderabad stand at Rs 1,05,760/8 grams while pure gold (24 carat) prices stand at Rs 1,15,376/8 grams.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)