Zinc yesterday we have seen that market has moved 2.78% after Goldman Sachs signaled a positive outlook for commodities.
The great demand for commodities from emerging markets will lead to much severer supply shortages, and weigh greater pressure on manufacturers. In this context, zinc prices rose to USD 2,200/mt, moving between USD 2,220-2,250/mt overnight, with prices finally closing at USD 2,237/mt, up USD 60/mt.
But the ongoing European debt crisis and continuing Chinese credit tightening policies weighed down LME zinc prices. Market has opened at 98.2 & made a low of 98.2 versus the day high of 101.05. The total volume for the day was at 21941 lots and the open interest was at 6580.Now support for the zinc is seen at 98.9 and below could see a test of 97.1. Resistance is now likely to be seen at 101.7, a move above could see prices testing 102.8.
Trading Ideas:
Zinc trading range is 97.1-102.8.
Zinc moved 2.78% after Goldman Sachs signaled a positive outlook for commodities
Zinc looks to take support at 98.90 and resistance at 101.70.
Zinc daily stocks at Shanghai exchange came down by 2718 tonnes.
Nickel yesterday ended higher as several large investment banks raised their expectations of commodity prices, stimulating risk appetite to certain extent.
LME nickel for delivery in three months opened at USD 22,895/mt and closed at USD 23,327/mt overnight, up by USD 528/mt from a day earlier, with the highest price at USD 23,500/mt and the lowest price at USD 22,661/mt. It is expected that LME nickel prices will continued to be weighed below USD 24,000/mt and spot nickel prices in Shanhgai market will move in the RMB 173,500-176,000/mt range.
Nickel has touched a low of Rs 1028.6 a kg after opening at Rs.1037.8, and last traded at Rs 1059.1.For today market is looking for the support at 1036.3, a break below could see a test of 1013.6 and where as resistance is now likely to be seen at 1074.1, a move above could see prices testing 1089.2.
Trading Ideas:
Nickel trading range is 1013.6-1089.2.
Nickel ended higher as several large investment banks raised their expectations of commodity prices
Nickel is having resistance at 1074.10 and support at 1036.30 level.
Spread between nickel MAY & JUN contracts yesterday traded in the range of 8.20 - 9.5.
