Long liquidation seen in MCX Aluminium
MCX Mentha Oil likely to trade in a range of 1654.8-1763
MCX Cotton under long liquidation
MCX Cardamom under fresh selling; Resistance seen at 1372.6
NCDEX Jeera under fresh buying; Resistance seen at 18970
Technically Nickel market is under fresh selling as market has witnessed gain in open interest by 13.43% to settled at 7051 while prices down 26.4 rupees.
Now MCX Nickel is getting support at 908.9 and below same could see a test of 891.8 level, And resistance is now likely to be seen at 951.3, a move above could see prices testing 976.6.
Nickel on MCX settled down 2.77% at 926 tracking weakness in LME prices on profit booking and dollar seen supported after jump in U.S. Treasury yields. Production at BHP Billiton’s Kalgoorlie nickel smelter restarted after a fire last month, a company spokeswoman said.
There was a fire at the BHP Nickel West Kalgoorlie Smelter on 23 September 2018 in the furnace building. The smelter is operating and production restarted again. Global demand for nickel is expected to increase to 2.42 million tonnes in 2019 versus a projection of 2.35 million in 2018, the International Nickel Study Group (INSG) said.
At the same time, global output of nickel is expected to increase to 2.39 million tonnes in 2019 compared with an estimated 2.20 million tonnes in 2018, the Lisbon-based group said. A second large nickel mine in New Caledonia has been blockaded, stopping about 200 people from going to work.
Nickel inventories in the Shanghai bonded areas decreased 2.3% or 1,000 mt over the week to stand at 43,000 mt, data showed. An open import arbitrage window drove importers to take their Russian cargoes out of bonded warehouses and to put into the domestic spot market.
The arbitrage opportunities also prompted importers to directly pour seaborne arrivals to the market. A report showed that U.S. private sector employers added 230,000 jobs in September, well above expectations, indicating that the labor market remains robust.
Trading Ideas:
–Nickel trading range for the day is 891.8-976.6.
–Nickel prices dropped tracking weakness in LME prices on profit booking and dollar seen supported after jump in U.S. Treasury yields.
–Production at BHP Billiton’s Kalgoorlie nickel smelter restarted after a fire last month, a company spokeswoman said.
–Global demand for nickel is expected to increase to 2.42 million tonnes in 2019 versus a projection of 2.35 million in 2018, the INSG said.
Courtesy: Kedia Commodities
Source: Commodityonline.com
