MCX Aluminium likely to move in a range of 141.5-146.3
MCX Mentha Oil under short covering; Support seen at 1655.9
MCX Copper likely to trade between 402.2-416.8 levels
Natural Gas market under fresh buying; Support seen at 206.4
MCX Crude Oil likely to trade in a range between 4711-4819
Technically Nickel market is getting support at 918.6 and below same could see a test of 911.6 level, And resistance is now likely to be seen at 935.9, a move above could see prices testing 946.2.
Nickel on MCX settled down 2.01% at 925.60 struggled to maintain the midweek relief rally amid a resurgence of US-Sino trade tensions. With pessimistic sentiment over a trade war, the SHFE Nickel contract fell below 110,000 yuan/mt and closed at 109,380 yuan/mt.
Last night the dollar stopped a five-day losing streak and the euro fell on Thursday. The greenback received a boost from political uncertainty, a new round of trade tariffs and the Federal Reserve’s latest policy meeting minutes that left little doubt that the US central bank will further raise interest rates.
The dollar index gained 0.57% to close at 95.617. LME base metals closed mixed on Thursday. Lead soared over 2%, aluminium inched up 0.24%, zinc nudged up 0.1% while copper dropped 0.76% and nickel slumped 2.5%.
Also SHFE base metals also saw mixed performance overnight. Lead and zinc jumped over 1%, aluminium increased 0.55%, copper gained 0.46% while nickel fell over 1%. Data from US side showed the number of Americans filing for unemployment benefits fell last week, a sign that the labour market was holding firm despite tensions between the US and its trading partners that have grown restrictions on global commerce.
While Sales of new US single-family homes unexpectedly fell in July to a nine-month low in a sign that the housing market was cooling. Now day ahead the key developments to monitor today are Germany’s GDP growth in the second quarter, US durable goods orders data for July. Also a three-day congregation among leading central bankers at Jackson Hole, Wyoming, began on Thursday.
Trading Ideas:
–Nickel trading range for the day is 911.6-946.2.
–Nickel prices dropped as the US-China trade dispute worsened.
–The United States and China escalated their acrimonious trade war on Thursday, implementing punitive 25 percent tariffs on $16 billion worth of each other’s goods.
–China’s central bank said it will not resort to strong stimulus to support the slowing economy, but will keep liquidity reasonably ample.
Courtesy: Kedia Commodities
Source: Commodityonline.com
