MCX Copper expected to trade in a range between 453.2-466.2
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 Aluminium may trade between 145-151.2 levels
MCX Mentha Oil likely to trade in a range of 1647.9-1736.9
Technically market is getting support at 180.6 and below same could see a test of 177.3 levels and resistance is now likely to be seen at 187, a move above could see prices testing 190.1.
Zinc on MCX settled up 0.82% at 183.80 tracking weakness from Indian Rupee while LME three month zinc price slid 3.2 percent to $2,483 a tonne as an intensifying trade war between Washington and Beijing raised concerns over demand for industrial metals in top consumer China.
The United States and China imposed fresh tariffs on each other’s goods on Monday as the world’s biggest economies showed no signs of backing down from an increasingly bitter trade dispute that is expected to hit global economic growth. Rising trade tension put a stop to the rally that emerged late last week in the base metals sector.
China also called off planned talks with the United States, with the chances of anything happening before the U.S. midterm election now highly unlikely. Earlier last week Zinc’s gain of more than 2.5% was easily the best of the base metal complex, with the strong orders to withdraw the galvaniser from LME warehouses underpinning the interest in the commodity.
The falls elsewhere in the metals arena came as the trade war between the US and China remerged back in view after traders and investors last week decided to focus on positives outside the conflict. 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.
Trading Ideas:
–Zinc trading range for the day is 177.3-190.1.
–Zinc prices ended with gains supported by a shortage of the metal in top consumer China.
–LME zinc stocks are at their lowest since April, whereas ShFE zinc inventories remain barely above a decade low.
–The Eurozone manufacturing purchasing managers index (PMI) dropped to 53.3 in September while services PMI edged higher to 54.7.
Courtesy: Kedia Commodities
Source: Commodityonline.com
