Technically Aluminium market is getting support at 123.4 and below same could see a test of 121.7 level, And resistance is now likely to be seen at 125.9, a move above could see prices testing 126.7.
Aluminium on MCX settled up 0.97% at 124.90 despite political uncertainty in the United States hit hopes that President Donald Trump would be able to boost infrastructure spending. Base metals on MCX got support as Indian rupee weakened over 1.1%, its steepest fall in 21-month against the US dollar as concern over US President Donald Trump spurred.
Weakness can seen as China's growth is set for its weakest patch since the global financial crisis as authorities pull back on stimulus. Also China's banking regulator has tightened disclosure rules on lenders' wealth management products. Separately, the China Banking Regulatory Commission unveiled plans to publish a flurry of regulations later this year to control financial risks.
A Chinese metals industry body said on Wednesday it was concerned about the fairness of a U.S. probe into aluminium imports, following earlier concerns raised by the country's Commerce Ministry. "Our association is highly concerned about this, and worried about the fairness of the probe and its results," China's Non Ferrous Metals Industry Association said in a statement.
The U.S. Commerce Department launched an investigation last month into whether aluminium imports from China and elsewhere were compromising U.S. national security. The industry body said it was worried the U.S. action could damage free trade and the development of the global aluminium industry.
China's Commerce Ministry said last month it was concerned by the probe and hoped to resolve the dispute through talks.
--Aluminium trading range for the day is 121.7-126.7.
--Aluminium gained despite political uncertainty in the US hit hopes that President Donald Trump would be able to boost infrastructure spending.
--Base metals got support as Indian rupee weakened over 1.1%, its steepest fall in 21-month against the US dollar.
--US Commerce Department launched an investigation into whether aluminium imports from China and elsewhere were compromising US national security.
Courtesy: Kedia Commodities