BULLION Gold prices steady all eyes on US-China trade talk developments. Trend firm.
Review Yesterday, both the precious metals were traded flat to positive in international markets. Gold settled at $1297.80 per troy ounce up by 0.11% while silver settled at $14.81 per troy ounce up by 0.00%. Domestic markets were also settled flat. Gold settled at Rs.32259 per 10 gram with the gain of 0.06% and MCX Silver settled at 37517 per 1 kilogram with the loss of 0.01%. Gold and silver prices traded steady in international markets after making a high of $1300, we have clearly mentioned in our earlier report gold will hold key support of $1292 and which is hold in yesterday’s session. Global stock markets gains after sharp correction but gold prices get support due to escalating geo-political tensions in middle east. We expect gold prices remain firm and any adverse comment on US-China trade war will support gold prices. Gold is having support at $1292-1288 and resistance at $1304-1308. Silver is having support at $14.66-14.54 while resistance at $14.94-15.10.
TECHNICAL OUTLOOK
Today, Gold is having support at 32133-32007 while resistance at 32402-32545, silver is having support at 37389-37260 and resistance at 37668-37818. Traders are suggested to trade in a range with strict stop loss.
ENERGY Crude oil gain besides rise in U.S. stockpiles due to tensions in middle east. Trend volatile.
Review Yesterday, Crude oil prices gain in international market WTI Crude settled at $62.02 while Brent settled at $71.77 per barrel. At MCX Crude oil settled positive at 4366 per barrel with the gain of 0.32%. Crude oil prices extend gain on Wednesday, supported by tensions in the middle east linked to stealth attacks on Saudi oil tankers and pipelines which is offset by unexpected rise in U.S. crude oil inventories. The rebound in oil came despite predictions by the Paris-based International Energy Agency in its monthly report on Wednesday that the world will require very little extra oil from OPEC this year as booming U.S. output will offset falling exports from Iran and Venezuela. The IEA estimated growth in global oil demand to average 1.3 million barrels per day in 2019. In contrast, U.S. production of oil and condensates alone was forecast to rise by an average of 1.7 million bpd this year. EIA reported 5.4 million barrel surge in weekly inventory. We expect crude oil prices remain volatile due to tensions in middle east and rising stocks in US. Crude oil is having support at $61.50-61.10 and resistance at $62.50-63.10.
TECHNICAL OUTLOOK
Crude oil is having support at 4307-4247 while resistance at 4405-4443, trades are suggested to trade in a range with strict stop loss.
BASE METAL Base metals rebound on trade talk hopes; soft Chinese data. Trend volatile.
Review Yesterday, base metal prices settled positive in international market. 3M LME copper settled at $6079 per metric ton up by 0.61% from previous close. Base metal prices rebound amid hope of trade talks between US-China as US President Donald Trump twits for meeting with Chinese President next month in G-20 meeting. Copper extended its rebound on Wednesday as hopes the United States and China would forge a trade deal overshadowed largely disappointing economic data from top metals consumer China. China reported surprisingly weaker growth in retail sales and industrial output for April on Wednesday, adding pressure on Beijing to roll out more stimulus. The silver lining is that as the China data remains weak the government will have to respond with interest rate cuts and more fiscal stimulus, so that the second half of the year could be a lot better in terms of Chinese growth. We expect base metal prices remain volatile till any positive outcome over US-China trade war. Today, Copper is having support around 426-423 while resistance at 430-432. Nickel will trade in a range of 842-872, Zinc will trade in a range of 215-220, and Lead will trade in a range of 125-130 while Aluminium trade in a range of 149-153.
TECHNICAL OUTLOOK
Copper is having support at 426 and 423 while resistance at 430 and 432, traders are suggested to trade as per levels with strict stop loss.
AGRI COMMODITY Soybean extend gain on lower monsoon arrival and rebound in CBOT. Trend volatile.
Review Yesterday, Soybean settled positive in domestic markets at 3760 per quintal with the gain of 0.48%. CBOT were settled at 835. Soybean prices extend gains third session in a row after skymet projected for lower monsoon arrival from June-September. Prices are also supported by rebound in CBOT after US hints for further talk on trade issues with China. We expect soybean will test its key resistance of 3840. Other commodities shows mixed trend at NCDEX, Chana settled with the gain of 0.42%, Castor seed settled negative with the loss of 0.53%. RM Seed closed positive with the gain of 0.08%. Guar Seed settled negative with the loss of 1.14% while Guar Gum settled with the loss of 0.31%. Spices pack settled positive; Coriander, Jeera and Turmeric settled with solid gain. Cotton seed oilcake closed negative with the loss of 0.86%. Cotton prices rebound on trade talk hopes and closed positive. Refined Soyoil closed positive with the gain of 0.38%. We expect Refined Soyoil to trade in a range of 750-766.
TECHNICAL OUTLOOK
Soybean is having support around 3730-3700 while resistance at 3780-3800, Refined Soyaoil is having support at 752-750 while resistance at 764-766 traders are suggested to trade as per levels with strict stop loss.
News Source: Bloomberg, investing.com, kitco.com and ticker news.
Disclaimer: This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report.
Posted by Mehul Kothari | Published on 20-MAY-2019
BULLION Gold prices dips as President Trump denies for trade talk breakdown. Trend firm. Review Yesterday, both the precious metals were traded flat to negative in international markets. Gold settled at $1296.30 per troy ounce down by 0.42% while silver settled at $14.81 per troy ounce up by 0.00%. Domestic markets were settled negative due to strength in rupee. Gold settled at Rs.32241 per 10 gram with the loss of 0.79% and MCX Silver settled at 37521 per 1 kilogram with the loss of 0.34%. Gold prices dip below $1300 levels in yesterday’s trade after U.S. President Donald Trump denies for breakdown in trade talk with China. He twitted trade talk with China is not collapsed, U.S. has a very good dialogue with China and his relationship with China is extraordinary. After president Trump twit gold seen profit booking but looking to the trade dispute and geo-political tensions in gulf we expect gold with hold key support of $1292 in international markets. Gold is having support at $1292-1288 and resistance at $1304-1308. Silver is having support at $14.66-14.54 while resistance at $14.94-15.10. TECHNICAL OUTLOOK
Today, Gold is having support at 32163-32086 while resistance at 32386-32532, silver is having support at 37394-37267 and resistance at 37705-37889. Traders are suggested to trade in a range with strict stop loss.
ENERGY Crude oil gain on Saudi oil attack again; trade war fear limits gain. Trend volatile. Review Yesterday, Crude oil prices gain more than 1% in international market WTI Crude settled at $61.78 while Brent settled at $71.24 per barrel. At MCX Crude oil settled positive at 4352 per barrel with the gain of 0.93%. Saudi Arabia reported attacks against its oil industry for a second day in a row Tuesday, but instead of heightened trade war fears to depress the market, U.S. President Donald Trump said he could have a "very fruitful meeting" at the G20 next month with his Chinese counterpart Xi Jinping. Unidentified drones attacked two pumping stations belonging to Saudi Aramco, the state oil company of Saudi Arabia, forcing it to suspend some operations to assess the damage, the government in Riyadh announced Tuesday. Tensions in gulf support crude oil prices but trade tensions between US-China and rising U.S. crude output limits gain. We expect crude oil prices remain volatile and will trade in range between $60.50-62.40. Crude oil is having support at $61.20-60.50 and resistance at $62.10-62.40. TECHNICAL OUTLOOK
Crude oil is having support at 4293-4234 while resistance at 4394-4434, trades are suggested to trade in a range with strict stop loss.
BASE METALBase metals rebound on bargain hunting; trade talk hopes. Trend volatile. ReviewYesterday, base metal prices settled positive in international market. 3M LME copper settled at $6042 per metric ton up by 0.33% from previous close. Base metal prices rebound on Tuesday after a sharp fall on Monday as China retaliate U.S. tariff and imposed tariff on $60 billion U.S. goods import. After a U.S. President Donald trump statement to have talk with Chinese president next month to resolve trade dispute, base metals react positively. U.S. President Donald Trump said he could have a "very fruitful meeting" at the G20 next month with his Chinese counterpart Xi Jinping. Trump is also twit as US-China trade talk is not breakdown. We expect looking to the trade tensions between US-China and volatility in dollar, base metal prices remain volatile. Today, Copper is having support around 424-422 while resistance at 428-431. Nickel will trade in a range of 822-858, Zinc will trade in a range of 212-217, and Lead will trade in a range of 125-130 while Aluminium trade in a range of 148-153. TECHNICAL OUTLOOK
Copper is having support at 424 and 422 while resistance at 428 and 431, traders are suggested to trade as per levels with strict stop loss.
AGRI COMMODITYSoybean gain on lower monsoon prospect and rebound in CBOT. Trend volatile. ReviewYesterday, Soybean settled positive in domestic markets at 3745 per quintal with the gain of 1.35%. CBOT were settled at 830. Soybean prices gained more than 1% as sky met hints for below monsoon between June-September; rebound in CBOT also supports soybean prices. Other commodities witness profit booking due to strength in rupee and hope of resume trade talk between US-China. Profit booking seen in most of the commodities at NCDEX, Chana settled with the loss of 0.53%, Castor seed settled negative with the loss of 0.56%. RM Seed closed negative with the loss of 0.41%. Guar Seed settled negative with the loss of 0.65% while Guar Gum settled with the loss of 0.02%. Spices pack settled mixed; Coriander and Turmeric settled positive while Jeera settled negative. Cotton seed oilcake closed negative with the loss of 0.37%. Cotton prices rebound on trade talk hopes and closed positive. Refined Soyoil closed positive with the gain of 0.94%. We expect Refined Soyoil to trade in a range of 760-748.TECHNICAL OUTLOOK
Soybean is having support around 3720-3690 while resistance at 3780-3800, Refined Soyaoil is having support at 750-748 while resistance at 757-760 traders are suggested to trade as per levels with strict stop loss.
News Source: Bloomberg, investing.com, kitco.com and ticker news.
Disclaimer: This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report.)
Posted by Mehul Kothari | Published on 20-MAY-2019
BULLION Gold prices slide by 1% on upbeat U.S. economic data. Trend volatile. Review Yesterday, both the precious metals were traded sharply negative in international markets. Gold settled at $1286.10 per troy ounce down by 0.90% while silver settled at $14.49 per troy ounce down by 2.16%. Domestic markets were also settled negative. Gold settled at Rs.31976 per 10 gram with the loss of 0.88% and MCX Silver settled at 36859 per 1 kilogram with the loss of 1.75%. Gold and silver prices slide in yesterday’s trade after series of upbeat U.S. economic data and strength in dollar index. The Commerce Department’s latest report showed that U.S. housing starts rose 5.7% in to a seasonally adjusted annual rate of 1.24 million units in April. The data was slightly better than expected with consensus forecasts called for starts to be around 1.21 million. Unemployment claims also fell down to 212000 from 228000 and manufacturing index rose to 16.6 from 8.5 earlier. We expect gold and bullion prices remain in pressure and will get support from middle east tensions at lower levels. Gold is having support at $1281-1276 and resistance at $1292-1296. Silver is having support at $14.34-14.20 while resistance at $14.66-14.80. TECHNICAL OUTLOOK
Today, Gold is having support at 31822-31667 while resistance at 32220-32463, silver is having support at 36611-36364 and resistance at 37328-37798. Traders are suggested to trade in a range with strict stop loss.
ENERGY Crude oil gain third day in a row over middle east tensions. Trend volatile. Review Yesterday, Crude oil prices gain in international market WTI Crude settled at $62.87 while Brent settled at $72.62 per barrel. At MCX Crude oil settled positive at 4420 per barrel with the gain of 1.24%. Oil prices jumped more than 1% on Thursday as tensions in the Middle East grew, with a Saudi-led coalition launching air strikes in retaliation for recent attacks on its oil infrastructure. The Saudi-led military coalition in Yemen carried out several air strikes on the Houthi-held capital Sanaa on Thursday after the Iranian-aligned movement claimed responsibility for drone attacks on two Saudi oil pumping stations earlier in the week. Saudi Arabia’s deputy defense minister accused Iran of ordering the drone attack on the pumping stations. It comes after attacks on four oil tankers off the coast of United Arab Emirates on Sunday. Escalation of tensions in middle east supporting crude oil prices. We expect crude oil prices remain volatile and will face steep resistance around $63.50-64 zone. Crude oil is having support at $62.40-61.80 and resistance at $63.20-63.80. TECHNICAL OUTLOOK
Crude oil is having support at 4369-4319 while resistance at 4461-4503, trades are suggested to trade in a range with strict stop loss.
BASE METALBase metals trade steady; China supply concern help Aluminium to gain. Trend volatile. ReviewYesterday, base metals trade steady in international market. 3M LME copper settled at $6082 per metric ton up by 0.05% from previous close. Base metals trade steady in yesterday’s trading session due to supply concern in China and upbeat U.S. economic data. Aluminium prices climbed to two-week highs on Thursday after news of production shutdowns at one of the country's biggest smelters fuelled worries about supplies from top producer China. Aluminium prices have been lifted by output cuts, due to regulatory, environmental reasons. Xinfa Group, one of China's biggest aluminium smelters, is closing all production lines on its 2.8 million tons per year alumina refinery in Shanxi for an unspecified period amid an environmental dispute, causing alumina prices to spike. We expect base metal prices will get support from positive economic data but trade concern between US-China will limits sharp gain in the prices. Today, Copper is having support around 426-424 while resistance at 431-434. Nickel will trade in a range of 844-872, Zinc will trade in a range of 215-220, and Lead will trade in a range of 126-130 while Aluminium trade in a range of 148-153.TECHNICAL OUTLOOK
Copper is having support at 426 and 424 while resistance at 431 and 434, traders are suggested to trade as per levels with strict stop loss.
AGRI COMMODITYSpices complex gain on lower monsoon expectations; soybean cools down. Trend volatile. ReviewYesterday, Soybean June future settled weak in domestic markets at 3756 per quintal with the loss of 0.98%. CBOT were settled at 841. Soybean prices seen some profit booking on Thursday due to strength in rupee and lower demand on higher prices. Spices pack shows solid comeback and gain around 2% on lower monsoon expectations and revival in demand on export prospects. Other commodities also shows positive trend at NCDEX, Chana June future settled with the gain of 2.14%, Castor seed settled positive with the gain of 0.93%. RM Seed closed positive with the gain of 0.56%. Guar Seed settled negative with the loss of 0.19% while Guar Gum settled with the loss of 0.49%. Spices pack settled positive; Coriander, Jeera and Turmeric settled with solid gain. Cotton seed oilcake closed positive with the gain of 0.43%. Cotton prices rebound on trade talk hopes and closed positive. Refined Soyoil closed positive with the gain of 0.63%. We expect Refined Soyoil June to trade in a range of 740-754. TECHNICAL OUTLOOK
Soybean is having support around 3720-3700 while resistance at 3780-3800, Refined Soyaoil is having support at 742-740 while resistance at 752-754 traders are suggested to trade as per levels with strict stop loss.
News Source: Bloomberg, investing.com, kitco.com and ticker news.
Disclaimer: This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report.)
Daily Commodity Research Report – 16th May 2019
BULLION
Gold prices steady all eyes on US-China trade talk developments. Trend firm.
Review
Yesterday, both the precious metals were traded flat to positive in international markets. Gold settled at $1297.80 per troy ounce up by 0.11% while silver settled at $14.81 per troy ounce up by 0.00%. Domestic markets were also settled flat. Gold settled at Rs.32259 per 10 gram with the gain of 0.06% and MCX Silver settled at 37517 per 1 kilogram with the loss of 0.01%. Gold and silver prices traded steady in international markets after making a high of $1300, we have clearly mentioned in our earlier report gold will hold key support of $1292 and which is hold in yesterday’s session. Global stock markets gains after sharp correction but gold prices get support due to escalating geo-political tensions in middle east. We expect gold prices remain firm and any adverse comment on US-China trade war will support gold prices. Gold is having support at $1292-1288 and resistance at $1304-1308. Silver is having support at $14.66-14.54 while resistance at $14.94-15.10.
TECHNICAL OUTLOOK
Today, Gold is having support at 32133-32007 while resistance at 32402-32545, silver is having support at 37389-37260 and resistance at 37668-37818. Traders are suggested to trade in a range with strict stop loss.
ENERGY
Crude oil gain besides rise in U.S. stockpiles due to tensions in middle east. Trend volatile.
Review
Yesterday, Crude oil prices gain in international market WTI Crude settled at $62.02 while Brent settled at $71.77 per barrel. At MCX Crude oil settled positive at 4366 per barrel with the gain of 0.32%. Crude oil prices extend gain on Wednesday, supported by tensions in the middle east linked to stealth attacks on Saudi oil tankers and pipelines which is offset by unexpected rise in U.S. crude oil inventories. The rebound in oil came despite predictions by the Paris-based International Energy Agency in its monthly report on Wednesday that the world will require very little extra oil from OPEC this year as booming U.S. output will offset falling exports from Iran and Venezuela. The IEA estimated growth in global oil demand to average 1.3 million barrels per day in 2019. In contrast, U.S. production of oil and condensates alone was forecast to rise by an average of 1.7 million bpd this year. EIA reported 5.4 million barrel surge in weekly inventory. We expect crude oil prices remain volatile due to tensions in middle east and rising stocks in US. Crude oil is having support at $61.50-61.10 and resistance at $62.50-63.10.
TECHNICAL OUTLOOK
Crude oil is having support at 4307-4247 while resistance at 4405-4443, trades are suggested to trade in a range with strict stop loss.
BASE METAL
Base metals rebound on trade talk hopes; soft Chinese data. Trend volatile.
Review
Yesterday, base metal prices settled positive in international market. 3M LME copper settled at $6079 per metric ton up by 0.61% from previous close. Base metal prices rebound amid hope of trade talks between US-China as US President Donald Trump twits for meeting with Chinese President next month in G-20 meeting. Copper extended its rebound on Wednesday as hopes the United States and China would forge a trade deal overshadowed largely disappointing economic data from top metals consumer China. China reported surprisingly weaker growth in retail sales and industrial output for April on Wednesday, adding pressure on Beijing to roll out more stimulus. The silver lining is that as the China data remains weak the government will have to respond with interest rate cuts and more fiscal stimulus, so that the second half of the year could be a lot better in terms of Chinese growth. We expect base metal prices remain volatile till any positive outcome over US-China trade war. Today, Copper is having support around 426-423 while resistance at 430-432. Nickel will trade in a range of 842-872, Zinc will trade in a range of 215-220, and Lead will trade in a range of 125-130 while Aluminium trade in a range of 149-153.
TECHNICAL OUTLOOK
Copper is having support at 426 and 423 while resistance at 430 and 432, traders are suggested to trade as per levels with strict stop loss.
AGRI COMMODITY
Soybean extend gain on lower monsoon arrival and rebound in CBOT. Trend volatile.
Review
Yesterday, Soybean settled positive in domestic markets at 3760 per quintal with the gain of 0.48%. CBOT were settled at 835. Soybean prices extend gains third session in a row after skymet projected for lower monsoon arrival from June-September. Prices are also supported by rebound in CBOT after US hints for further talk on trade issues with China. We expect soybean will test its key resistance of 3840. Other commodities shows mixed trend at NCDEX, Chana settled with the gain of 0.42%, Castor seed settled negative with the loss of 0.53%. RM Seed closed positive with the gain of 0.08%. Guar Seed settled negative with the loss of 1.14% while Guar Gum settled with the loss of 0.31%. Spices pack settled positive; Coriander, Jeera and Turmeric settled with solid gain. Cotton seed oilcake closed negative with the loss of 0.86%. Cotton prices rebound on trade talk hopes and closed positive. Refined Soyoil closed positive with the gain of 0.38%. We expect Refined Soyoil to trade in a range of 750-766.
TECHNICAL OUTLOOK
Soybean is having support around 3730-3700 while resistance at 3780-3800, Refined Soyaoil is having support at 752-750 while resistance at 764-766 traders are suggested to trade as per levels with strict stop loss.
News Source: Bloomberg, investing.com, kitco.com and ticker news.
Disclaimer: This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report.
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Daily Commodity Research Report – 15th May 2019
BULLION Gold prices dips as President Trump denies for trade talk breakdown. Trend firm. Review Yesterday, both the precious metals were traded flat to negative in international markets. Gold settled at $1296.30 per troy ounce down by 0.42% while silver settled at $14.81 per troy ounce up by 0.00%. Domestic markets were settled negative due to strength in rupee. Gold settled at Rs.32241 per 10 gram with the loss of 0.79% and MCX Silver settled at 37521 per 1 kilogram with the loss of 0.34%. Gold prices dip below $1300 levels in yesterday’s trade after U.S. President Donald Trump denies for breakdown in trade talk with China. He twitted trade talk with China is not collapsed, U.S. has a very good dialogue with China and his relationship with China is extraordinary. After president Trump twit gold seen profit booking but looking to the trade dispute and geo-political tensions in gulf we expect gold with hold key support of $1292 in international markets. Gold is having support at $1292-1288 and resistance at $1304-1308. Silver is having support at $14.66-14.54 while resistance at $14.94-15.10. TECHNICAL OUTLOOK Today, Gold is having support at 32163-32086 while resistance at 32386-32532, silver is having support at 37394-37267 and resistance at 37705-37889. Traders are suggested to trade in a range with strict stop loss. ENERGY Crude oil gain on Saudi oil attack again; trade war fear limits gain. Trend volatile. Review Yesterday, Crude oil prices gain more than 1% in international market WTI Crude settled at $61.78 while Brent settled at $71.24 per barrel. At MCX Crude oil settled positive at 4352 per barrel with the gain of 0.93%. Saudi Arabia reported attacks against its oil industry for a second day in a row Tuesday, but instead of heightened trade war fears to depress the market, U.S. President Donald Trump said he could have a "very fruitful meeting" at the G20 next month with his Chinese counterpart Xi Jinping. Unidentified drones attacked two pumping stations belonging to Saudi Aramco, the state oil company of Saudi Arabia, forcing it to suspend some operations to assess the damage, the government in Riyadh announced Tuesday. Tensions in gulf support crude oil prices but trade tensions between US-China and rising U.S. crude output limits gain. We expect crude oil prices remain volatile and will trade in range between $60.50-62.40. Crude oil is having support at $61.20-60.50 and resistance at $62.10-62.40. TECHNICAL OUTLOOK Crude oil is having support at 4293-4234 while resistance at 4394-4434, trades are suggested to trade in a range with strict stop loss. BASE METALBase metals rebound on bargain hunting; trade talk hopes. Trend volatile. ReviewYesterday, base metal prices settled positive in international market. 3M LME copper settled at $6042 per metric ton up by 0.33% from previous close. Base metal prices rebound on Tuesday after a sharp fall on Monday as China retaliate U.S. tariff and imposed tariff on $60 billion U.S. goods import. After a U.S. President Donald trump statement to have talk with Chinese president next month to resolve trade dispute, base metals react positively. U.S. President Donald Trump said he could have a "very fruitful meeting" at the G20 next month with his Chinese counterpart Xi Jinping. Trump is also twit as US-China trade talk is not breakdown. We expect looking to the trade tensions between US-China and volatility in dollar, base metal prices remain volatile. Today, Copper is having support around 424-422 while resistance at 428-431. Nickel will trade in a range of 822-858, Zinc will trade in a range of 212-217, and Lead will trade in a range of 125-130 while Aluminium trade in a range of 148-153. TECHNICAL OUTLOOK Copper is having support at 424 and 422 while resistance at 428 and 431, traders are suggested to trade as per levels with strict stop loss. AGRI COMMODITYSoybean gain on lower monsoon prospect and rebound in CBOT. Trend volatile. ReviewYesterday, Soybean settled positive in domestic markets at 3745 per quintal with the gain of 1.35%. CBOT were settled at 830. Soybean prices gained more than 1% as sky met hints for below monsoon between June-September; rebound in CBOT also supports soybean prices. Other commodities witness profit booking due to strength in rupee and hope of resume trade talk between US-China. Profit booking seen in most of the commodities at NCDEX, Chana settled with the loss of 0.53%, Castor seed settled negative with the loss of 0.56%. RM Seed closed negative with the loss of 0.41%. Guar Seed settled negative with the loss of 0.65% while Guar Gum settled with the loss of 0.02%. Spices pack settled mixed; Coriander and Turmeric settled positive while Jeera settled negative. Cotton seed oilcake closed negative with the loss of 0.37%. Cotton prices rebound on trade talk hopes and closed positive. Refined Soyoil closed positive with the gain of 0.94%. We expect Refined Soyoil to trade in a range of 760-748.TECHNICAL OUTLOOK Soybean is having support around 3720-3690 while resistance at 3780-3800, Refined Soyaoil is having support at 750-748 while resistance at 757-760 traders are suggested to trade as per levels with strict stop loss. News Source: Bloomberg, investing.com, kitco.com and ticker news. Disclaimer: This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report.)
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Daily Commodity Research Report – 17th May 2019
BULLION Gold prices slide by 1% on upbeat U.S. economic data. Trend volatile. Review Yesterday, both the precious metals were traded sharply negative in international markets. Gold settled at $1286.10 per troy ounce down by 0.90% while silver settled at $14.49 per troy ounce down by 2.16%. Domestic markets were also settled negative. Gold settled at Rs.31976 per 10 gram with the loss of 0.88% and MCX Silver settled at 36859 per 1 kilogram with the loss of 1.75%. Gold and silver prices slide in yesterday’s trade after series of upbeat U.S. economic data and strength in dollar index. The Commerce Department’s latest report showed that U.S. housing starts rose 5.7% in to a seasonally adjusted annual rate of 1.24 million units in April. The data was slightly better than expected with consensus forecasts called for starts to be around 1.21 million. Unemployment claims also fell down to 212000 from 228000 and manufacturing index rose to 16.6 from 8.5 earlier. We expect gold and bullion prices remain in pressure and will get support from middle east tensions at lower levels. Gold is having support at $1281-1276 and resistance at $1292-1296. Silver is having support at $14.34-14.20 while resistance at $14.66-14.80. TECHNICAL OUTLOOK Today, Gold is having support at 31822-31667 while resistance at 32220-32463, silver is having support at 36611-36364 and resistance at 37328-37798. Traders are suggested to trade in a range with strict stop loss. ENERGY Crude oil gain third day in a row over middle east tensions. Trend volatile. Review Yesterday, Crude oil prices gain in international market WTI Crude settled at $62.87 while Brent settled at $72.62 per barrel. At MCX Crude oil settled positive at 4420 per barrel with the gain of 1.24%. Oil prices jumped more than 1% on Thursday as tensions in the Middle East grew, with a Saudi-led coalition launching air strikes in retaliation for recent attacks on its oil infrastructure. The Saudi-led military coalition in Yemen carried out several air strikes on the Houthi-held capital Sanaa on Thursday after the Iranian-aligned movement claimed responsibility for drone attacks on two Saudi oil pumping stations earlier in the week. Saudi Arabia’s deputy defense minister accused Iran of ordering the drone attack on the pumping stations. It comes after attacks on four oil tankers off the coast of United Arab Emirates on Sunday. Escalation of tensions in middle east supporting crude oil prices. We expect crude oil prices remain volatile and will face steep resistance around $63.50-64 zone. Crude oil is having support at $62.40-61.80 and resistance at $63.20-63.80. TECHNICAL OUTLOOK Crude oil is having support at 4369-4319 while resistance at 4461-4503, trades are suggested to trade in a range with strict stop loss. BASE METALBase metals trade steady; China supply concern help Aluminium to gain. Trend volatile. ReviewYesterday, base metals trade steady in international market. 3M LME copper settled at $6082 per metric ton up by 0.05% from previous close. Base metals trade steady in yesterday’s trading session due to supply concern in China and upbeat U.S. economic data. Aluminium prices climbed to two-week highs on Thursday after news of production shutdowns at one of the country's biggest smelters fuelled worries about supplies from top producer China. Aluminium prices have been lifted by output cuts, due to regulatory, environmental reasons. Xinfa Group, one of China's biggest aluminium smelters, is closing all production lines on its 2.8 million tons per year alumina refinery in Shanxi for an unspecified period amid an environmental dispute, causing alumina prices to spike. We expect base metal prices will get support from positive economic data but trade concern between US-China will limits sharp gain in the prices. Today, Copper is having support around 426-424 while resistance at 431-434. Nickel will trade in a range of 844-872, Zinc will trade in a range of 215-220, and Lead will trade in a range of 126-130 while Aluminium trade in a range of 148-153.TECHNICAL OUTLOOK Copper is having support at 426 and 424 while resistance at 431 and 434, traders are suggested to trade as per levels with strict stop loss. AGRI COMMODITYSpices complex gain on lower monsoon expectations; soybean cools down. Trend volatile. ReviewYesterday, Soybean June future settled weak in domestic markets at 3756 per quintal with the loss of 0.98%. CBOT were settled at 841. Soybean prices seen some profit booking on Thursday due to strength in rupee and lower demand on higher prices. Spices pack shows solid comeback and gain around 2% on lower monsoon expectations and revival in demand on export prospects. Other commodities also shows positive trend at NCDEX, Chana June future settled with the gain of 2.14%, Castor seed settled positive with the gain of 0.93%. RM Seed closed positive with the gain of 0.56%. Guar Seed settled negative with the loss of 0.19% while Guar Gum settled with the loss of 0.49%. Spices pack settled positive; Coriander, Jeera and Turmeric settled with solid gain. Cotton seed oilcake closed positive with the gain of 0.43%. Cotton prices rebound on trade talk hopes and closed positive. Refined Soyoil closed positive with the gain of 0.63%. We expect Refined Soyoil June to trade in a range of 740-754. TECHNICAL OUTLOOK Soybean is having support around 3720-3700 while resistance at 3780-3800, Refined Soyaoil is having support at 742-740 while resistance at 752-754 traders are suggested to trade as per levels with strict stop loss. News Source: Bloomberg, investing.com, kitco.com and ticker news. 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