20.9 C
New York
Sunday, May 29, 2022

MCX Zinc may trade in a range between 161.9-173.1

MCX Aluminium may trade between 140.6-144.4 levels

Nickel market under long liquidation; Support seen at 916.6

MCX Copper may trade between 395.2-420.2 levels

Natural Gas market under long liquidation; Support seen at 202.4

MCX Crude Oil under long liquidation; Support seen at 4516

Technically MCX Zinc is getting support at 164.5 and below same could see a test of 161.9 levels and resistance is now likely to be seen at 170.1, a move above could see prices testing 173.1.

Zinc on MCX settled down -2.85% at 166.90 tracking weakness from Shanghai zinc prices which slumped as much as 5.3 percent to 19,525 yuan a tonne, its lowest since June 2017, before closing down 3.7 percent on 19,860 yuan.

While LME Zinc was up 2.4 percent, having slid 6.3 percent in the previous session and hit its lowest since October 2016 and prices regained ground on Thursday as planned trade talks between China and the United States and a recovery in Turkey’s currency rekindled appetite for riskier assets and weakened the dollar.

Concerns that trade disputes and a crisis in Turkey will damage economic growth and metals demand had triggered a run of losses which culminated on Wednesday with the London Metal Exchange’s (LME) index of six metals plunging to a 13-month low in its worst one-day fall since July 2015.

Last night the US dollar index came off from a 13.5-month high and closed at 96.57 on Thursday, while the Chinese yuan recovered from its weakest level since January 2017 on news that Beijing and Washington will resume trade talks later this month.

Base metals rose across the board overnight. LME zinc surged 4.2%, nickel jumped 3.6%, lead gained close to 3%. Copper was up close to 1%, while aluminium was up 0.79%. SHFE nickel rose close to 2%, zinc edged up 0.53% with aluminium up 0.42%.

Copper inched up 0.25% and lead 0.11%. Now Key things to watch today include US consumer sentiment in August surveyed by the University of Michigan and the eurozone’s consumer price inflation in July.

Trading Ideas:
–Zinc trading range for the day is 161.9-173.1.
–Zinc dropped on concerns about the hit to global growth and demand from trade disputes and political tensions, as well as a stronger dollar.
–China’s July zinc output fell 3.5 pct year-on-year to 439,000 tonnes, the National Bureau of Statistics said, its lowest monthly total since August 2013
–Shanghai zinc slumped as much as 5.3 percent to 19,525 yuan a tonne, its lowest since June 2017, and was down 4.1 percent at the interval.

Courtesy: Kedia Commodities

Source: Commodityonline.com

Related Articles

Stay Connected

11,305FansLike
12,893FollowersFollow
752FollowersFollow
- Advertisement -

Latest Articles

Popular Articles