Nickel market under fresh selling; Support seen at 913.5
MCX Zinc likely to trade between 169.1-176.7 levels
MCX Copper likely to trade between 411.9-428.3 levels
MCX Natural Gas may trade in a range between 184.8-192.6
Crude Oil market under short covering; Support seen at 4608
Technically Silver market is under fresh selling as market has witnessed gain in open interest by 8.83% to settled at 21392 while prices down 522 rupees.
Now MCX Silver is getting support at 38256 and below same could see a test of 37991 levels and resistance is now likely to be seen at 38933, a move above could see prices testing 39345.
Silver on MCX settled down -1.34% at 38520 pressured by a rally in the greenback as Federal Reserve Chairman Jay Powell said gradual rate hikes would continue. In his semi-annual testimony to Congress, Powell said the “best way forward” is to continue raising rates, as the job market has strengthened and inflation has met the Fed’s 2% target.
That reaffirmed investor expectations that the Federal Reserve will increased interest rates twice more this year, prompting investors to pile into the dollar, reducing demand for the metal.
The Fed’s Powell said on Tuesday he sees the United States on course for years more of steady growth, but was challenged in a congressional hearing by senators worried the Trump administration’s trade policies were already damaging businesses in their districts.
U.S. President Trump tried to calm a storm over his failure to hold Russian President Vladimir Putin accountable for meddling in the 2016 U.S. election, saying he misspoke in a joint news conference in Helsinki. The US industrial production rose 0.6% last month after falling 0.5% in May.
This was buoyed by a sharp rebound in manufacturing and further gains in mining output, the latest sign of robust economic growth in the second quarter. Mining production increased 1.2% in June, adding to the 2.2% rise in May. The rise drove the mining output to a record high.
Trading Ideas:
–Silver trading range for the day is 37991-39345.
–Silver prices fell as a stronger dollar weighed on the precious metal and Federal Reserve Chair Jerome Powell backed gradual rate increases.
–Fed’s Chairperson Powell reiterated the central bank should gradually increase interest rates.
–U.S. industrial production increased in June, boosted by a sharp rebound in manufacturing, the latest sign of robust economic growth in the second quarter.
Courtesy: Kedia Commodities
Source: Commodityonline.com
