MCX Natural Gas expected to trade in a range between 211.6-226
MCX Nickel likely to move in a range of 909.3-965.3
MCX Mentha Oil likely to trade in a range of 1647.9-1736.9
Crude Oil market under fresh buying; Support seen at 5179
Silver market under short covering; Support seen at 37499
Technically Aluminium market is getting support at 146.1 and below same could see a test of 145 level, And resistance is now likely to be seen at 149.2, a move above could see prices testing 151.2.
Aluminium on MCX settled down 1.24% at 147.20 dropped on long liquidation as pressure seen after the report that global primary aluminium output rose to 5.485 million tonnes in August from revised 5.476 million tonnes in July, data from the IAI showed last week.
Estimated Chinese production rose to 3.12 million tonnes in August from revised 3.115 million tonnes in July, it added. Also sentiments turning down after the report that sanctions on Rusal, a top aluminium producer, will be lifted after the U.S. mid-term elections on Nov. 6 are weighing on prices of the transport and packaging metal.
Markets were made to curb their enthusiasm overnight. Trade war realities bit again and the relief rally that had defined last week’s trade dissipated. The heightened political tensions and the subsequent (and intermittent) sap on investor sentiment will be a constant, but to what extent this flows into fundamental matters of global inflation and interest rates, earnings growth within equity markets, and appetite for commodities is still unclear.
Now market participants today should monitor US FHFA home prices for July and the Conference Board consumer confidence for September. And Fed’s policy makers will meet for a two-day meeting ending Wednesday and the market is pricing in over a 90% chance of a quarter-point rate increase.
The Fed has penciled in four moves in total this year and that means another hike is likely in December, though traders have shown some flashes of wavering confidence of late, citing trade uncertainty and global economic hiccups. That uncertainty puts added emphasis on the Fed’s statement.
Trading Ideas:
–Aluminium trading range for the day is 145-151.2.
–Aluminium dropped as an intensifying trade war between Washington and Beijing raised concerns over demand for industrial metals in China.
–Russian aluminium giant United Company Rusal is assembling a team of traders in China, three sources with knowledge of the matter said.
–The sanctions on Rusal have tightened the market for aluminium and its major ingredient alumina, outside China.
Courtesy: Kedia Commodities
Source: Commodityonline.com
