Nickel market under long liquidation; Support seen at 937.1
MCX Zinc likely to trade between 176.5-182.9 levels
MCX Natural Gas expected to trade in a range between 189.7-194.3
MCX Cotton under long liquidation
NCDEX Cardamom may trade between 1141.4-1155.4 levels
Technically Copper market is under fresh selling as market has witnessed gain in open interest by 2.95% to settled at 24626, now Copper is getting support at 422.6 and below same could see a test of 419.4 level, And resistance is now likely to be seen at 430.3, a move above could see prices testing 434.8.
Copper remained under pressure as trade tensions between the United States and the European Union eased. After meeting European Commission chief Jean-Claude Juncker, U.S. President Donald Trump said the two would work toward eliminating trade barriers on industrial goods.
Profit growth for China’s industrial firms eased in June from the previous month, data showed, as factory production slowed amid the worsening trade U.S. dispute and Beijing’s efforts to cut pollution and debt. Industrial profits rose 20 percent to 658.29 billion yuan ($96.69 billion) in June, according to data published by the National Bureau of Statistics (NBS) on Friday, compared with a 21.1 percent rise in May.
NBS said in a separate statement on the data rising prices have cushioned firms’ profits even as industrial production slowed in June. It did not provide separate reasons for the slower profit growth in the month. Steel, building materials and oil extraction sectors were key drivers behind profit growth in the first half of the year, it added.
Copper inventory in Shanghai bonded areas fell further, down 10,100 mt on the week to 476,700 mt. China’s state news agency Xinhua said signs of property speculation has re-emerged in some parts of the country and urged local governments to rein in prices more effectively.
Xinhua said about 200 property tightening rules – a record high – were introduced across the country in the first half of the year, but demand was still high in cities with relatively low property prices.
Trading Ideas:
–Copper trading range for the day is 419.4-434.8.
–Copper pared gains on profit booking after prices remained supported amid tense negotiations at Chile’s Escondida copper mine, the world’s largest.
–Beijing vowed to pursue a more “vigorous” fiscal policy, including cutting taxes, as authorities stepped up efforts to support growth amid rising economic headwinds.
–Higher arrivals of cargoes and declining downstream demand at the end of the month grew supplies in the market.
Courtesy: Kedia Commodities
Source: Commodityonline.com
