Gold futures in India, which hit the lowest level in more than 18 months on Tuesday, may stage a recovery as key technical indicators point to the yellow metal entering oversold territory, according to analysts. Gold in India, the world's biggest buyer of the metal, has shed 21 percent from the record high of 32,464 rupees for 10 grams struck in November, spreading panic among investors and importers. "Extremely overdone technical indications suggest a possible recovery in coming days," said Gnanasekar...

The October contract on the Multi Commodity Exchange of India was at Rs 25,540, up Rs 298 from its previous close. In morning benchmark gold futures extended gains by more than 3 per cent and hit a new peak of Rs 26,198 per 10 grams, tailing a rally in the world market and on a weak rupee. It has risen over 11 percent in August. Rupee fell sharply to its lowest in 10 weeks as a selloff in global equities ignited fears of foreign fund outflows. International spot gold gained more...