SHANGHAI, Aug.30 (SMM) – On Monday’s night trading, SHFE 1701 nickel opened at RMB 78,610/mt and then rebounded after a decline to RMB 78,370/mt. The contract closed at RMB 78,690/mt.
On Tuesday, SHFE 1701 nickel started at RMB 78,720/mt and then ranged between RMB 78,600-79,000/mt. US dollar moved firmly and this weighed on base metals price. During the afternoon business, SHFE 1701 nickel dived to RMB 78,000/mt with entering of shorts and ended at RMB 78,150/mt, down 0.57%. SHFE 1701 nickel dropped below the 60-day moving average today. Trading volumes were down 247,000 to 357,000 lots and positions were up 12,000 to 588,000.
US nonfarm payroll report is expected to rise significantly in August and US dollar will remain firm. SHFE 1701 nickel, meeting resistance at the 5-day moving average, should fluctuate at lows.