MCX Aluminium may trade between 136.2-138.4 levels
Commodity Online | June 30 2020
UPDATED 10:40:01 IST

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MCX Cotton under short covering; Support seen at 15870

MCX Aluminium may trade between 136-137.8 levels

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Technically Aluminium market is under fresh buying as market has witnessed gain in open interest by 8.99% to settled at 812 while prices up 0.55 rupees.

Now MCX Aluminium is getting support at 136.9 and below same could see a test of 136.2 levels, and resistance is now likely to be seen at 138, a move above could see prices testing 138.4.

Aluminium yesterday settled up by 0.4% at 137.5 as investor reaction to the ongoing coronavirus situation in the US will continue to be watched.

LME aluminium stocks extended their rise, adding 14,275 tonnes to 1,652,025, the highest since April 2017, having shot up 70% since mid-March, LME data showed.

China's primary aluminium imports in May jumped fivefold from a year earlier to a 16-month high?customs data showed, as rising domestic prices of the light metal sent Chinese buyers shopping overseas for bargains.

Imports of primary aluminium by China, the world's top producer and consumer of the metal, came in at 18,314 tonnes last month, data from the General Administration of Customs showed.

That was more than double the 7,343 tonnes imported in April and the highest monthly total since January 2019. The main sources of the metal were India, which sent 9,401 tonnes, and Russia, with 5,245 tonnes, the online customs database showed.

Imports of unwrought aluminium and aluminium products in May more than doubled year-on-year to 119,145 tonnes, customs data showed.

Global primary aluminium output rose to 5.448 million tonnes in May from a revised 5.274 million tonnes in April, data from the International Aluminium Institute (IAI) showed. Estimated Chinese production increased to 3.105 million tonnes in May from a revised 2.997 million tonnes in April, it added.

Trading Ideas:
--Aluminium trading range for the day is 136.2-138.4.
--Aluminium gains as investor reaction to the ongoing coronavirus situation in the US will continue to be watched.
--LME aluminium stocks extended their rise, adding 14,275 tonnes to 1,652,025, the highest since April 2017, having shot up 70% since mid-March.
--Global primary aluminium output rose to 5.448 million tonnes in May from a revised 5.274 million tonnes in April.

Courtesy: Kedia Commodities