Zinc market under short covering; Support seen at 186.6
MCX Copper likely to trade in a range between 429.5-443.9
MCX Natural Gas likely to trade in a range between 289.5-343.3
NCDEX Soyabean under fresh buying; Resistance seen at 3344
NCDEX Ref.Soya Oil under fresh buying; Support seen at 731
Technically Nickel market is under short covering as market has witnessed drop in open interest by 7.7% to settled at 14418.
Now MCX Nickel is getting support at 770.9 and below same could see a test of 760.4 levels and resistance is now likely to be seen at 787.3, a move above could see prices testing 793.2.
Nickel settled up 1.78% at 781.3 amid a weaker dollar and resurgent trade tensions between the United States and China. Nickel ore inventories across all Chinese ports increased by 20,000 wmt from a week ago to stand at 13.86 million wmt, data showed.
In metal content, stocks grew 200 mt for the same period and stood at some 116,000 mt. Stocks across seven major Chinese ports rose by 10,000 wmt to 10.55 million wmt. BHP said it had received approval from the government of Western Australian to develop a nickel mine in the state that will feed its Nickel West battery chemicals business.
The Venus deposit is one of the most significant development options for Nickel West as the miner gears up to produce nickel sulphate next year to feed the burgeoning industry for electric vehicle batteries. The global miner has been ploughing investment into nickel mine development and exploration in the state to secure its own supply of the material.
Nickel is in increasingly hot demand in new battery technologies that mean cars can travel further on a single charge. Some 13,700 mt of nickel was produced across China in November, standing 4.64% lower than the corresponding month of 2017. Output in January-November came in at 132,900 mt, down 8.23% from a year earlier.
On a month-on-month basis, China’s nickel output gained 3.86% in November as the approaching year-end prompted producers to step up output to meet annual production targets.
Trading Ideas:
–Nickel trading range for the day is 760.4-793.2.
–Nickel prices rallied amid a weaker dollar and resurgent trade tensions between the United States and China.
–Nickel ore inventories across all Chinese ports increased by 20,000 wmt from a week ago to stand at 13.86 million wmt as of Friday December 7, data showed.
–BHP said it had received approval from the government of Western Australian to develop a nickel mine in the state that will feed its Nickel West battery chemicals business.
Courtesy: Kedia Commodities
Source: Commodityonline.com
