Mentha Oil market under fresh buying; Support seen at 1560.5
MCX Nickel may trade in a range between 947.2-969
Zinc market under short covering; Support seen at 180.1
Copper market under fresh selling; Support seen at 415.6
MCX Cotton under fresh selling; Resistance seen at 24016
Technically Aluminium market is under fresh buying as market has witnessed gain in open interest by 0.18% to settled at 3796 while prices up 5.15 rupees.
Now MCX Aluminium is getting support at 141 and below same could see a test of 137.4 levels and resistance is now likely to be seen at 146.5, a move above could see prices testing 148.4.
Aluminium on MCX settled up 3.69% at 144.60 gained tracking firmness from LME aluminium prices which jumped more than 3 percent to a two-week high of $2,113.50 per tonne, in a flurry of activity in yesterday’s session.
Also support seen after a weaker greenback makes dollar-denominated commodities cheaper for non-U.S. firms, a relationship used by funds to generate buy and sell signals.
Meanwhile Russian aluminium giant Rusal is concerned about an impending catastrophe if U.S. sanctions are not lifted, with some of its production halted as early as September, two sources close to the company said.
Under the terms of the sanctions, imposed in April in response to Moscow’s alleged meddling in the 2016 U.S. election, U.S. customers must wind down business with Rusal by Oct. 23. Last night the dollar index slipped 0.07% to 95.098 overnight, while the pound dropped to its lowest level in almost a year on Wednesday as investors ramped up bets on Britain leaving the EU without an agreement with Brussels.
Also China announced on Wednesday that it would levy additional import tariffs of 25% on $16 billion worth of US goods ranging from oil and steel products to autos and medical equipment on August 23.
A day ahead key things to watch today include China’s consumer and producer inflation, total social financing and M2 money supply in July, US producer inflation in July, initial jobless claims last week and wholesale inventories in June.
Trading Ideas:
–Aluminium trading range for the day is 137.4-148.4.
–Aluminium gained as buoyed by industrial action at Alcoa’s Pinjarra alumina refinery in Western Australia were workers walked off the job indefinitely.
–On-warrant stocks of aluminium available to the market in LME-registered warehouses touched their lowest since August 2007 at 833,075 tonnes.
–Stocks monitored by the Shanghai Futures Exchange are down 8 percent to 905,924 tonnes from this year’s peak but still up over 20 percent in 2018.
Courtesy: Kedia Commodities
Source: Commodityonline.com
