MCX Nickel may trade between 906.9-957.3 levels
MCX Zinc expected to trade between 174.7-186.5 levels
Natural Gas market under short covering; Support seen at 187.2
Crude Oil market under fresh buying; Support seen at 4682
Silver market under short covering; Support seen at 38169
Technically Copper market is getting support at 422.4 and below same could see a test of 415.7 levels and resistance is now likely to be seen at 434.6, a move above could see prices testing 440.1.
Copper on MCX settled up 2.12% at 428.95 gained on short covering finding support from a weaker dollar index and easing tensions related to the trade spat between the United States and China.
The copper price surged to a multiset high in yesterday’s session amid a bout of technical buying and a softer dollar. Support also seen as concerns over supplies from the world’s biggest copper mine limited losses.
Also China will adopt a more vigorous fiscal policy to help tackle external uncertainties without resorting to strong policy stimulus. Slowing economic growth has sparked a heated debate among government researchers on whether fiscal policy should play a bigger role in softening the impact of a trade war with the United States.
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Support also seen concerns over possible disruptions to supply from the world’s biggest copper mine. Negotiations between workers and management at Chile’s Escondida mine are deadlocked without signs of progress towards an agreement a little more than a week before the current labour contract expires.
The rise in copper prices was limited by slowing growth in top consumer China. LME copper stood above $6,300/mt and touched the 20-day moving average as investors added their long bets on threat of a strike at Escondida copper mine in Chile.
Last night the US dollar index fell 0.05% to close at 94.58 with pressure from a stronger euro, which was buoyed by robust German economic data. Yesterday LME base metals rose across the board with copper leading the gains and closing 2.2% higher.
Trading Ideas:
–Copper trading range for the day is 415.7-440.1.
–Copper prices bounced back buoyed by concerns over possible disruptions to supply from the world’s biggest copper mine.
–LME copper stood above $6,300/mt and touched the 20-day moving average as investors added their long bets on threat of a strike at Escondida copper mine in Chile.
–BHP’s Escondida copper mine in Chile said it had made a final offer in talks with the union representing its rank-and-file workers.
Courtesy: Kedia Commodities
Source: Commodityonline.com
