SHANGHAI, Mar. 19 (SMM) -- Technically speaking, LME nickel prices shall extend weak momentum in the future, but have support above the 5-day and 10-day moving averages, with limited room to fall further.
Generally speaking, LME nickel prices remain weak and lack strong momentum to rise significantly in the short term. However, recent positive factors will also limit any price declines. SMM expects LME nickel prices may rebound on any positive news in the coming week.
In China's domestic markets, transactions were stable although downstream demand is still lackluster. The price spread between Shanghai spot nickel prices and converted LME nickel prices has expanded, allowing the inflow of Russian nickel in domestic markets. Quiet trading sentiment is expected to continue if LME nickel prices fail to advance significantly in the coming week. SMM expects spot nickel prices will continue to track LME nickel prices and will move in the RMB 135,000-145,000/mt range.