Zinc market under long liquidation; Support seen at 194.9
MCX Copper likely to trade in a range between 444.8-457.8
Natural Gas market under short covering; Support seen at 233.5
MCX Nickel under short covering; Support seen at 906.7
MCX Aluminium under fresh selling; Resistance seen at 149.2
Technically Crude Oil market is under fresh buying as market has witnessed gain in open interest by 66.91% to settled at 6573 while prices up 20 rupees.
Now MCX Crude Oil is getting support at 5070 and below same could see a test of 5024 levels and resistance is now likely to be seen at 5153, a move above could see prices testing 5190.
Crude Oil on MCX settled up 0.39% at 5115 on signs of surging demand in China, although prices dropped on weekly basis on swelling U.S. inventories and concern that trade wars were curbing economic activity.
Undermining sentiment were official figures showing China’s economic growth slowed in the third quarter to its weakest pace since the global financial crisis, with gross domestic product expanding by only 6.5 percent, missing estimates.
The data raised concerns that China’s trade war with United States was beginning to hit growth, which may limit oil demand. Refinery throughput in China, the world’s largest oil importer, rose to a record high of 12.49 million barrels per day (bpd) in September as some independent plants restarted operations after prolonged shutdowns over the summer to shore up inventories, government data showed.
U.S. crude stocks last week climbed 6.5 million barrels, marking a fourth straight weekly build and almost triple the amount analysts had forecast, the U.S. Energy Information Administration said.
Inventories rose sharply even as U.S. crude production slipped 300,000 barrels per day (bpd) to 10.9 million bpd last week due to the effects of offshore facilities closing temporarily for Hurricane Michael.
Meanwhile, Iranian oil exports may have risen in October as buyers took cargoes before U.S. sanctions on Tehran take effect from Nov. 4. An unprecedented volume of Iranian crude oil is set to arrive at China’s northeast port of Dalian this month and in early November before then.
Trading Ideas:
–Crude Oil trading range for the day is 5024-5190.
–Crude Oil gained on signs of surging demand in China, although prices dropped on weekly basis on swelling U.S. inventories
–Saudi Arabia’s crude oil exports in Aug rose to 7.210 million barrels per day from 7.120 million bpd in July, official data showed.
–U.S. crude stocks last week climbed 6.5 million barrels, the fourth straight weekly build, the U.S. Energy Information Administration said.
Courtesy: Kedia Commodities
Source: Commodityonline.com
