MCX Gold under fresh buying; Support seen at 31380
MCX Silver may trade between 38471-39761 levels
MCX Crude Oil under fresh buying; Resistance seen at 5601
MCX Natural Gas under long liquidation; Support seen at 229.5
MCX Copper under fresh selling; Resistance seen at 460.2
Technically Zinc market is under fresh buying as market has witnessed gain in open interest by 12.75% to settled at 5864 while prices up 2.2 rupees.
Now MCX Zinc is getting support at 195 and below same could see a test of 192.1 level, And resistance is now likely to be seen at 199.5, a move above could see prices testing 201.1.
Zinc on MCX settled up 1.12% at 197.95 as support seen after disappointing U.S. nonfarm payrolls for September weighed on the dollar. Growth in China’s new bank loans likely rebounded modestly in September after easing the two previous months, as the government sought to ensure sufficient liquidity while keeping debt risks in check.
Chinese banks were estimated to have issued 1.35 trillion yuan ($196.56 billion) in net new yuan loans in September, compared to 1.28 trillion yuan in August. The People’s Bank of China (PBOC) has scrambled to boost liquidity and support lending to businesses in response to the downward pressures on economic growth as trade disputes with the United States have worsened.
The central bank pledged at its quarterly monetary policy meeting to use multiple policy tools to keep liquidity fairly ample, and guide reasonable growth in money supply, credit and total social financing.
It has cut the reserve requirement ratios (RRR) for the third time this year, vowing to support small-and-medium-sized enterprises who have become collateral damage of Beijing’s forceful debt crackdown.
China’s hopes of negotiating a free trade pact with Canada or Mexico were dealt a sharp setback by a provision deep in the new U.S.-Mexico-Canada trade agreement that aims to forbid such deals with “non-market” countries.
Trading Ideas:
–Zinc trading range for the day is 192.1-201.1.
–Zinc prices gained as support seen after disappointing U.S. nonfarm payrolls for September weighed on the dollar.
–Growth in China’s new bank loans likely rebounded modestly in September after easing the two previous months, as the government sought to ensure sufficient liquidity.
–China’s hopes of negotiating a free trade pact with Canada or Mexico were dealt a sharp setback by a provision deep in the new U.S.-Mexico-Canada trade agreement.
Courtesy: Kedia Commodities
Source: Commodityonline.com
