MCX Aluminium expected to trade between 149.5-156.7 levels
MCX Menthol Oil under fresh buying; Support seen at 1711.6
MCX Cotton under short covering
MCX Cardamom under fresh buying; Support seen at 1335.2
NCDEX Jeera may move in a range of 19250-19720
Technically MCX Nickel is getting support at 945.3 and below same could see a test of 930.5 level, And resistance is now likely to be seen at 969.1, a move above could see prices testing 978.1.
Nickel on MCX settled up 2.5% at 960.10 gained on short covering as support seen after Environmental restrictions are likely to support nickel prices into the winter, and this will continue to limit the response from nickel pig iron (NPI) prices despite significant availability of nickel ore.
Also Winter cuts will impact NPI prices to a greater extent this year than the last and this is likely to keep nickel prices tighter over winter. Despite weaker NPI output, China’s refined nickel imports continue to fall, he told delegates at LME week in London on Monday October 8.
In Indonesia, NPI production will increase inthe fourth quarter, driven by increasing operating rate from Delong and more capacity slated to be commissioned during the last quarter. For 2019, Roper expects a surge of as much as 200,000 mt in Indonesian NPI output.
Support also seen as China nickel inventory continued to declined due to increasing demand from the stainless steel sector even as imports have increased since July. Data showed that deliverable nickel stock in Shanghai declined to 85,000 mt at the end of August 2018, down 6% from the end of last year, and down 27% from the same period last year.
LME nickel inventory decreased to 241,000 mt, down 35% compared to the end of last year. Separately, a poll conducted during LME week identified nickel as the base metal with the greatest potential for 2019. Last night after it touched a seven-week high against a basket of currencies, the US dollar dipped on Tuesday when US bond yields declined.
Trading Ideas:
–Nickel trading range for the day is 930.5-978.1.
–Nickel prices gained as the dollar fell as the British pound rose following a report that rekindled hopes of a Brexit deal between London and Brussels.
–The International Monetary Fund cut China’s 2019 growth forecast to 6.2 percent from 6.4 percent, leaving the 2018 forecast unchanged at 6.6 percent.
–Investor morale in the eurozone fell more than expected in October, as concerns about Italy’s fiscal policies weighed on sentiment.
Courtesy:Kedia Commodities
Source: Commodityonline.com
