MCX Zinc may trade between 177.3-182.3 levels
MCX Nickel under short covering; Resistance seen at 946.8
MCX Mentha Oil under fresh buying; Support seen at 1572.4
MCX Natural Gas may trade between 188.8-192.6 levels
Crude Oil market under fresh buying; Support seen at 4756
Technically Aluminium market is getting support at 140.5 and below same could see a test of 139.8 level, And resistance is now likely to be seen at 141.8, a move above could see prices testing 142.4.
Aluminium on MCX settled up 0.36% at 141.15 as support seen after Shanghai aluminium prices gained 0.2 percent and is on course for a 2.2-percent gain over the week, which would be its biggest weekly jump since the week ending April 20.
While London aluminium is heading for its first weekly jump in eight after funds cut bets on lower prices. Support seen after U.S. President Donald Trump and European Union President Jean-Claude Juncker reached an agreement that investors hope will avert a trade war, and the dollar weakened.
Trump and Juncker said after meeting in Washington on Wednesday that they would seek to “resolve” U.S. tariffs on steel and aluminium and Europe’s retaliatory duties. That marked a step back from Trump’s signature import protections for American metal producers. Last night the US dollar rose 0.6% to close at 94.76 as the euro fell.
This followed the ECB’s decision to keep interest rate and its exit of QE on hold at its governing council meeting. Base metals was inched up for the most part as market worries eased after the US and EU stepped back from a potential trade war and agreed to be at the negotiation table.
The ECB decided on its governing council meeting that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0%, 0.25% and 0.40% respectively.
Trading Ideas:
–Aluminium trading range for the day is 139.8-142.4.
–Aluminium gained buoyed after U.S. President Donald Trump and the European Union reached an agreement that investors hope will avert a trade war.
–The amount of cancelled aluminium inventory — rose 23,175 tonnes, mainly from Busan, taking on-warrant stocks to 939,975 tonnes.
–Japan’s aluminium industry is more concerned over possible U.S. import tariffs on automobiles that could impact a wider range of the country’s industries.
Courtesy: Kedia Commodities
Source: Commodityonline.com
