Aluminium market under fresh selling; Support seen at 138.6
Zinc market under short covering; Support seen at 175.3
MCX Copper may trade in a range between 409.6-422.2
MCX Crude Oil likely to trade in a range between 4528-4872
MCX Silver likely to trade in a range between 37660-38330
Technically MCX Nickel is getting support at 909.3 and below same could see a test of 902.4 levels and resistance is now likely to be seen at 925.4, a move above could see prices testing 934.6.
Nickel on MCX settled up 0.12% at 916.30 recovered from the day’s low after LME nickel prices falls 3.4% on trade worries on day earlier amid a fresh trade rift between the United States and China.
The three-month nickel price had climbed to their highest in more than two weeks on July 31, closing above $14,000 per tonne, but they sank towards $13,500 per tonne, it lost the gains it made in two weeks. With weak downstream demand in August and as nickel pig iron production recovers.
Despite robust demand from the stainless steel sector, trade protectionism continues to weigh on prices, while broad stock outflows have supported short-lived rallies. Earlier this week US President Donald Trump’s administration pledged to raise the planned 10% tariffs to 25% on $200 billion of Chinese imports, sending fresh concerns.
Concerns prevails U.S. President Donald Trump proposed a higher 25% tariff on $200 billion worth of Chinese imports, his administration said on Wednesday, raising fears of an escalating trade-war between the world’s two largest economies, which could hurt global growth. LME base metals closed mixed on Thursday.
Zinc jumped over 1%, copper and lead inched up while nickel edged down 0.3%, aluminium fell close to 0.7%. SHFE base metals saw a mixed performance overnight. Zinc gained 0.45%, copper and aluminium nudged up 0.14% while tin slid 0.36%, lead slipped 0.88% and nickel dropped over 1%.
Now day ahead key factors to watch today will be China Caixin services purchasing managers’ index (PMI), eurozone retail sales growth in June, US trade balance in June, nonfarm payrolls report and ISM services PMI in July.
Trading Ideas:
–Nickel trading range for the day is 902.4-934.6.
–Nickel ended with small gains prices facing pressure from the US-China trade disputes and a slowdown in Chinese economic growth.
–The Philippines’ environment ministry will decide whether to permanently shut four mines that failed a review for compliance with state regulations or offer them reprieve.
–The Philippines confirmed that 23 of 27 mines reviewed for compliance with state regulations will continue to operate.
Courtesy: Kedia Commodities
Source: Commodityonline.com
