Commodity Technical Report 21 August,2015 - Emkay Commotrade

By  Paul Ploumis 24 Aug 2015  Last updated at 02:28:44 GMT

Lead: Failure to trade above 112 will see Lead prices drift lower towards 110/109.50 levels A daily close below 109.50 will see prices drift towards major support areas around 108.50/108 levels. Any major upside move is likely only once prices break above 114.65 levels.

Trade Strategies

Daily Commodity Technical

Gold –Daily Chart

Gold: Gold prices have retraced from its intraday highs at 27287 levels and prices are currently trading around 26900 areas. Sustenance below 26900 will see prices retrace further towards 26750/26700 areas. Any major fall is likely only on a break below 26700 levels. Momentum above 27100 levels will see prices rally back towards 27250 levels. Areas around 27300-27350 are major resistance for the counter.

Silver –Daily Chart

Silver: Silver prices have retraced from its session highs at 36786 levels. Sustenance below 36000 levels will lead to further fall in the counter and prices will head lower towards 35700 levels. Upside momentum will be seen only once prices rebound back above 36400 levels 36800 areas will act as resistance for the session.

Crude –Daily Chart

Crude Oil (Rs/Bbl): Crude oil prices closed with a gain of 1.60% yesterday. Sustenance above 2765 will see prices rebound towards 2800/2820 levels Any major reversal though is likely only above 2855 levels. Until then intraday rallies will face supply at higher levels. The down trend will resume once prices break below 2670 levels again. Prices will slip towards 2600/2580 in that case.

Natural Gas –Daily Chart

Natural Gas (Rs./Mmbtu): Natural gas prices moved higher post the inventory data and prices closed at 182.30 levels with a gain of 2.70% yesterday. Failure to break below 180 levels today will see prices rebound towards 183.20 or even move higher towards 185 levels Sustenance below 180 will see prices drift lower towards 176 levels again.

Copper –Daily Chart

Copper: Copper prices rallied higher throughout the previous session and the counter closed at 336 levels with a gain of 2.33%. Areas between 330 up to 328 levels will provide good support for the counter and buying at lower levels can help prices rebound towards 336.50/337 levels again. A close below 328 will be negative for the counter. Areas around 342 are major resistance for copper.

Zinc –Daily Chart

Zinc: Zinc prices are trading down with a cut of 1.85% currently. Sustenance below 117 will see prices dip towards 115 levels A daily close below 115 will open downside targets of 113 levels in zinc. The view for the counter will remain negative until prices stay below 120 levels. Intraday rallies and weakness from around 118 levels can be used to sell.

Lead: Failure to trade above 112 will see Lead prices drift lower towards 110/109.50 levels A daily close below 109.50 will see prices drift towards major support areas around 108.50/108 levels. Any major upside move is likely only once prices break above 114.65 levels.

Nickel: Nickel prices broke below its recent swing lows of 666.80 levels and prices hit a low of 661 levels. Sustenance below 665 will see prices weaken towards 640/635 levels. Any major reversal is likely only above 700 levels. Until then prices will keep moving lower.

Aluminium: Aluminium prices retraced lower after testing the higher end of its trading range at 102.60 levels yesterday. The counter will continue to be range bound until prices hold below 102.60. Areas between 100-99.70 are the immediate support for the counter. The downtrend will resume once prices break below 99.70 levels.

Courtesy : Emkay Commotrade