SHFE Nickel down 1.08% (Feb. 25, 2016)

SHANGHAI, Feb. 25 (SMM) – SHFE 1605 nickel opened at RMB 68,350/mt overnight and hovered at lows. But later the contract bounced back with profit-taking by shorts and ended at RMB 68,570/mt.

SHFE nickel started at RMB 68,750/mt during Thursday trading session and fell sharply to the 5-day moving average with shorts entering market after a short rally, to close morning session at RMB 68,260/mt. In the afternoon business, the contract lost about RMB 500/mt and slipped below the 5-day moving average due to panic triggered by slump in Chinese stock market. Then the contract found support at the 10-day moving average and closed at RMB 67,810/mt, a fall of 1.08%. Trading volumes were up 137,000 to 657,000 lots whilst positions increased 23,360 to 451,000.

SHFE 1605 nickel suffers heavy sell-off pressure and will stay weak in short run.