MCX Aluminium expected to trade between 143.1-150.5 levels
MCX Mentha Oil under short covering; Support seen at 1694
NCDEX Turmeric may trade between 6560-6844 levels
NCDEX Jeera likely to move in a range of 19205-19785
MCX Cardamom under fresh buying; Support seen at 1407
Technically Nickel market is under fresh buying as market has witnessed gain in open interest by 2.67% to settled at 13594 while prices up 2 rupees.
Now MCX Nickel is getting support at 889.8 and below same could see a test of 883.5 level, And resistance is now likely to be seen at 903.7, a move above could see prices testing 911.3.
Nickel on MCX settled up 0.22% at 896.20 gained on fresh buying while LME nickel remained under pressure with a 0.5% fall. Nickel prices on MCX seen bounce as support seen from Rupee weakness where Indian rupee nose-dived against the U.S. dollar on Thursday, falling below the 72 mark, amid persistent sell-off in emerging markets driven by worries over global economic growth.
The dollar index is consolidating after its recent rebound and was recently quoted at 95.16. With the dollar paused, the pressure on other markets has eased. The yuan is treading water around recent levels and was recently quoted at 6.8369 and most of the emerging market currencies we follow are consolidating after their recent significant weakness.
Last night the US dollar index fell below 95 this followed after St Louis Federal Reserve Bank President James Bullard said on Wednesday that the US Fed should hold off on further interest rate hikes because the stance of monetary policy is already at neutral or possibly restrictive. Base metals saw mixed trades.
LME zinc grew 0.87% and copper increased 0.44%. Other base metals closed slightly lower. While a day ahead market participants should monitor data including the US nonfarm payroll employment in August, China’s foreign exchange reserves, and the eurozone’s GDP for the second quarter.
Trading Ideas:
–Nickel trading range for the day is 883.5-911.3.
–Nickel ended with small gains as longs entered the market cautiously on concerns over potential US tariffs on $200 billion worth of Chinese goods.
–The Caixin China services purchasing managers’ index (PMI) slipped to 51.5 in August from 52.8 in July.
–The US trade deficit rose to a five-month high in July, by 9.5% to $50.1 billion as exports dropped and imports hit a record high.
Courtesy: Kedia Commodities
Source: Commodityonline.com
