Nickel yesterday traded with the positive node and settled 0.3% up at 1034.7 tracking LME Nickel which opened at USD 21,700/mt and closed at USD 20,800/mt, down by USD 900/mt from a day earlier, with the highest price at USD 21,700/mt and the lowest price at USD 20,640/mt.
LME nickel prices slipped during last Friday’s Asian trading hours on drop in China’s import data. LME nickel prices were weighed down to hit the lowest at USD 20,640/mt as Euro-zone finance ministers have withheld approval for Greece's latest bailout.
LME nickel prices slipped by USD 900/mt and finally closed at USD 20,800/mt.
At the weekend, the ECB passed the second round bailout plan for Greece, boosting LME nickel prices to certain extent.
Although LME nickel prices met less resistance to advance further as the ECB finally passed the second round bailout plan for Greece, the credit rating cut of Italy and other countries will restrict LME Nickel prices from rebounding.
For today's session market is looking to take support at 1030.8, a break below could see a test of 1027 and where as resistance is now likely to be seen at 1036.8, a move above could see prices testing 1039.
Trading Ideas:
Nickel trading range for the day is 1026.97-1039.
Nickel gained after the ECB passed second round bailout plan for Greece boosting nickel prices.
Nickel prices gains were limited on drop in China’s import data
Greece approval for second bailout, downgrades for 34 Italian banks by S&P’s mean Greek debt crisis remains a huge risk source
Courtesy: Kedia Commodities
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