MCX Aluminium may trade between 142.7-146.9 levels
MCX Menthol Oil under fresh buying; Support seen at 1785.6
MCX Cotton likely to move in a range of 22400-23360
MCX Cardamom under long liquidation
NCDEX Jeera may trade between 19220-20220 levels
Technically MCX Nickel market is getting support at 852.4 and below same could see a test of 847.8 level, And resistance is now likely to be seen at 864.8, a move above could see prices testing 872.6.
Nickel on MCX settled down 0.84% at 856.90 with strong consumer spending figures from the United States fueling broad strength in the US dollar index and adding downward pressure to the market.
Also profit growth at China’s industrial firms slowed for the fifth consecutive month in September as sales of raw materials and manufactured goods further ebbed, pointing to cooling domestic demand.
China’s major stock indexes fell sharply on Monday as earnings reports on industrial and consumer firms sent fresh jitters through the market, raising concerns about the slowdown in economic growth.
While Growth in China’s factory sector likely cooled further in October as domestic demand faltered and exporters felt a bigger sting from an intensifying trade war with the United States, a Reuters poll showed. German Chancellor Angela Merkel would not seek re-election as head of her Christian Democratic Union party.
The dollar added to recent gains against other major currencies, supported by robust US consumer spending data on Monday. Both LME and SHFE base metals ended in negative territory across the board overnight except for SHFE copper who stayed flat.
LME lead and zinc dropped some 1.8%, aluminium slid 1.4%, nickel fell 1.2%, copper slipped 0.9% and tin lost 0.75%. SHFE zinc sank close to 0.9%, nickel decreased over 0.6%, aluminium went down more than 0.4%, tin declined 0.35% and lead skidded about 0.2%.
While from US side US consumer spending rose for a seventh straight month in September, but moderate growth in wages limited income to its smallest gain in more than a year.
–Nickel trading range for the day is 847.8-872.6.
–Nickel prices remained under pressure on tempered enthusiasm from investors for the battery raw material.
–China’s high-grade nickel pig iron (NPI) market is expected to see a supply surplus in the first quarter of 2019 amid output addition in China and Indonesia.
–The U.S. economy slowed less than expected in the third quarter was partially offset by the strongest consumer spending in nearly four years.
Courtesy: Kedia Commodities