MCX Nickel likely to move in a range of 982.6-1072.6
Commodity Online | January 17 2020
UPDATED 10:00:58 IST

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Technically Nickel market is under long liquidation as market has witnessed drop in open interest by 2.03% to settled at 1494 while prices down 34.3 rupees.

Now MCX Nickel is getting support at 998.9 and below same could see a test of 982.6 levels, and resistance is now likely to be seen at 1043.9, a move above could see prices testing 1072.6.

Nickel on MCX settled down 3.27% at 1015.2 on profit booking after prices gained after the United States and China signed a deal to defuse their 18-month trade war. Indonesia had exported 3.04 million tonnes of nickel ore worth $118.6 million in December, data from the statistics agency showed.

The volume of ore exports climbed from 1.62 million tonnes in the year-ago period, and rose from 2.7 million tonnes in November. Indonesia stopped exports of nickel ore this month as it speeds up efforts to process more of its natural resources at home.

Lacklustre US producer inflation data weighed on market sentiment on Wednesday. US producer prices edged up in December as a rise in the cost of goods was offset by weakness in services, the Labor Department said. US producer price index (PPI) for final demand ticked up 0.1% last month after being unchanged in November. On a year-over-year basis, the PPI increased 1.3% after gaining 1.1% in November.

In Europe, the UK, France and Germany have all formally accused Iran of violating its 2015 nuclear deal, a move which could pave the way for a re-imposition of UN sanctions lifted as part of the agreement. German full-year GDP (gross domestic product) growth figures showed that Europe’s largest economy grew by 0.6% in 2019, its weakest expansion rate for six years, as export-dependent manufacturers face ongoing headwinds from trade disputes and weak overseas demand.

Trading Ideas:
--Nickel trading range for the day is 982.6-1072.6.
--Nickel dropped on profit booking after prices gained after the United States and China signed a deal to defuse their 18-month trade war.
--Indonesia had exported 3.04 million tonnes of nickel ore worth $118.6 million in December, data from the statistics agency showed.
--Indonesia stopped exports of nickel ore this month as it speeds up efforts to process more of its natural resources at home.

Courtesy: Kedia Commodities