MCX Nickel under fresh buying; Support seen at 860
Commodity Online | March 30 2020
UPDATED 10:00:03 IST

NCDEX Chana under long liquidation; Support seen at 4081

MCX Cotton under fresh selling; Support seen at 15690

MCX Mentha Oil likely to move in a range of 1063-1074

NCDEX Jeera under fresh selling; Support seen at 13520

MCX Aluminium may trade between 130.5-132.9 levels

Technically Nickel market is under fresh buying as market has witnessed gain in open interest by 11.41% to settled at 791 while prices up 6.4 rupees.

Now MCX Nickel is getting support at 860 and below same could see a test of 853.5 levels, and resistance is now likely to be seen at 870.5, a move above could see prices testing 874.5.

Nickel yesterday settled up by 0.74% at 866.4 as investors eyed further stimulus by major countries to cushion the worldwide economic meltdown triggered by the coronavirus pandemic.

However, gains were limited as widespread lockdowns to curb the outbreak threatened the demand outlook.The global nickel market surplus widened to 13,100 tonnes in January from a surplus of 5,200 tonnes in the previous month, the International Nickel Study Group (INSG) said.

The January figure compares with a deficit of 3,500 tonnes in the same month of 2019.European Union lawmakers also approved emergency funds to stem the bloc's economic slump.Leaders of the group of 20 major economies said they would "do whatever it takes to overcome the pandemic," pledging to inject over $5 trillion into the global economy to limit job and income losses.

China's nickel ore imports in the first two months of 2020 fell 5.1% from a year earlier, according to calculations based on customs data, as the ban on exports from top miner Indonesia came into force.

China imported 4.32 million tonnes of nickel ore in January and February combined, according to data released by the General Administration of Customs, versus 4.55 million tonnes a year earlier. China's imports of nickel pig iron, a raw material for stainless steel production, rose 60.8% from a year earlier to 473,059 tonnes.

Trading Ideas:
--Nickel trading range for the day is 853.5-874.5.
--Nickel prices gained as investors eyed further stimulus by major countries to cushion the worldwide economic meltdown triggered by the coronavirus pandemic.
--China's nickel ore imports in the first two months of 2020 fell 5.1% from a year earlier.
--China's imports of nickel pig iron, a raw material for stainless steel production, rose 60.8% from a year earlier to 473,059 tonnes.

Courtesy: Kedia Commodities