Zinc market under long liquidation; Support seen at 178.4
Natural Gas market under short covering; Resistance seen at 191.3
MCX Crude Oil may trade between 4662-4856 levels
MCX Silver may trade between 38198-38864 levels
Gold market under short covering; Support seen at 29808
Technically MCX Copper is getting support at 427.2 and below same could see a test of 424.1 levels and resistance is now likely to be seen at 432.9, a move above could see prices testing 435.5.
Copper on MCX settled up 0.27% at 430.10 gained on fresh buying as LME Copper held at two-week highs on Wednesday after jumping nearly 3 percent the previous session, as the market awaited a resolution to wage talks at the world’s largest miner of the industrial metal.
BHP’s Escondida mine in Chile said on Tuesday it had made a final offer to the union representing its rank-and-file workers that includes a beefed up contract signing bonus and a 1.5 percent increase in wages. There was no immediate response from the union, which had asked for a 5 percent pay rise.
LME copper ended 0.1 percent lower at $6,290 per tonne, after Tuesday’s surge that was the biggest since January. Failure to reach a labour deal at Escondida last year led to a 44-day strike that jolted the global copper market.
The possibility of another strike there pushed benchmark copper prices in London to a near 4-1/2 year high of $7,348 a tonne on June 7, before fears that a U.S.-China trade war could crimp demand pushed the price below $6,000 tonne last week.
LME copper stood above $6,300/mt and hit a high of $6,331/mt due to a weakened US dollar and possible strike at the world’s largest copper mine Escondida in Chile.
Now day ahead key things to watch today will be the European central bank’s rate decision for July, the US durable goods orders and wholesale inventories last month, as well as its weekly jobless claims.
Trading Ideas:
–Copper trading range for the day is 424.1-435.5.
–Copper gained as threats of a strike at the Escondida mine in Chile provided support to prices.
–China June scrap copper imports dropped 39.8 pct year-on-year to 200,000 tonnes China’s General Administration of Customs said.
–Short holdings in Comex copper surged in the latest week, data from the U.S. regulator showed.
Courtesy: Kedia Commodities
Source: Commodityonline.com
