[Metal Price] Commodity Technical Report 29 July,2015 - Emkay Commotrade

By  Paul Ploumis 29 Jul 2015  Last updated at  08:11:44 GMT

Trade Strategies

Commodity Trading Strategies for the day

Daily Commodity Technical

Gold –Daily Chart

Gold: Gold prices are consolidating in a tight range between 24850 to 24700 levels The outlook on the counter will remain negative until prices stay below 25050 levels. Sustenance below 24700 will see prices weaken towards 24560/24450 levels again. We expect prices to remain sideways for today's session.

Silver –Daily Chart

Silver: Silver prices continue to be range bound. We reiterate our negative outlook on the counter until prices stay below 34500 levels Immediate support for the counter is seen around 33700 and a break below this support will see prices weaken towards 33500133300 levels. A near term trend reversal is possible only on a break out above 34500 on a daily closing basis.

Crude –Daily Chart

Crude Oil (Rs/Bbl): Crude oil prices took support between 3008-3020 levels and the counter managed to rebound towards 3113 levels yesterday. Failure to break down below 3000 levels on dips will see prices rebound further towards 3150/3175 levels over the coming sessions. Traders holding long positions can hold the same with a stop loss placed below 3000 levels,

Natural Gas –Intraday Chart

Natural Gas (Rs./Mmbtu): Natural gas prices are trading with a gain of 2% currently. Failure to break below 182 on dips will be positive for the counter. Prices can rebound further towards 185.50/187 levels in that case. A break below 182 will see prices correct sharply towards 180 levels.

Copper –Daily Chart

Copper: Copper closed with a gain of 1.56% yesterday. We expect prices to test resistance between 344.50-345 zones today. Failure to sustain between these zones will see prices dip towards 338 levels again. Any major reversal in the counter is likely only once prices breakout above 347 levels decisively. Until then the outlook for copper remains negative.

Zinc –Daily Chart

Zinc: Zinc outperformed the base metals pack yesterday as the counter close with a gain of 2.47%. We expect the counter to face resistance between 127.95-128.30 on the upside. Sustenance below 126.50 will see prices retrace towards 126/125.50 zones. We expect the counter to be range bound today.

Lead: Lead prices are trading around its resistance at 110-110.25 zones currently. Failure to break out above this level decisively will see prices retrace lower towards 1091108.50 zones again. A break above 110.30 will open up upside targets of 111.25/111.50 levels in the counter. The intraday view will turn negative once prices start trading below 109.70 levels.

Nickel: Nickel prices closed with a gain of 2% yesterday. Prices have retrace from its session highs at 725 levels. Areas between 727 up to 730 are strong resistance zones for nickel. Immediate support for the counter is seen around 715 levels. A decisive break below this support will see prices dip towards 708.50/705 levels. Failure to break below 715 will see prices remain range bound today.

Aluminium: Aluminium prices are currently trading just above its immediate resistance around 104 levels. Momentum from current levels will see prices rally towards 1051105.30 levels today. The intraday view for the counter will remain positive until prices stay above 103.40 levels on dips. A break below this support will see prices slide lower towards 102.80/102.60 levels.

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