12.8 C
New York
Friday, May 20, 2022

MCX Zinc under Fresh buying; Support seen at 192.9

MCX Gold under fresh buying; Support seen at 32943

MCX Silver under fresh buying; Resistance seen at 40784

MCX Crude Oil under fresh selling; Support seen at 3832

MCX Natural Gas may move in a range of 193.7-212.5

MCX Copper may trade between 433.3-442.1 levels

Technically Zinc market is under fresh buying as market has witnessed gain in open interest by 50.57% to settled at 5029 while prices up 1.9 rupees.

Now MCX Zinc is getting support at 192.9 and below same could see a test of 190.4 level, And resistance is now likely to be seen at 196.9, a move above could see prices testing 198.4.

Zinc on MCX settled up 0.98% at 195.15 rallies gained momentum on fresh buying after a dovish US Federal Reserve stance, a weaker dollar and a firmer Chinese yuan, which may indicate confidence in US-China trade talks, are all helping to underpin the three-month base metals prices on the London Metal Exchange.

In China, base metals prices on the Shanghai Futures Exchange were for the most part stronger, the exception once again being the March lead contract that was off by 0.9%. The March zinc contract led the gains with a 1.6% rise, with the May nickel contract up by 1% and the March copper contract up by 0.6% at 48,050 yuan ($7,151) per tonne, while aluminium and tin were little changed.

Zinc pricing has been relatively flat, although there was evidence of producer selling at a price of $2,700 per ton in late January. While more than 275,000 tonnes of aluminium left mostly LME-listed Malaysian warehouses over January, almost all of the LME’s European zinc stock has disappeared after more than 34,000 tonnes was booked for removal from Rotterdam and Antwerp.

Now a day ahead Economic data slated for release today include China’s Caixin PMI, Germany’s Markit PMI, the eurozone’s Markit PMI and consumer price index as well as the US nonfarm payrolls report, Markit and ISM PMI, the University of Michigan consumer confidence index and weekly rig count. Data are all for January.

Trading Ideas:
–Zinc trading range for the day is 190.4-198.4.
–Zinc gained tracking rise in LME prices after the U.S. Federal Reserve said it would be patient with interest rate hikes.
–Risk appetite across investors is likely to wane with the US-China trade negotiations and US nonfarm payrolls in the spotlight.
–German retail sales plummeted by 4.3% on the month in December, the fastest rate in 11 years.

Courtesy: Kedia Commodities         

Source: Commodityonline.com

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