[Base Metal]Commodity Technical Report 05 August,2015 - Emkay Commotrade

By Paul Ploumis 06 Aug 2015 Last updated at 01:23:49 GMT

Lead: Aug. Lead prices closed with a gain of 1.55% yesterday. The intraday outlook for lead will remain positive until prices stay above 109 levels. Until then dips towards 110/109.50 will find buying support and prices will rebound towards 111.501112 levels. A break below 109 will see prices weaken towards 1081107.50 levels.

Trade Strategies

Daily Commodity Technical

Gold –Daily Chart

Gold: Oct. Gold prices are trading close to its support areas between 24700-24650 levels. Failure to break below 24650 will see prices rebound towards 24800/24850 levels in the evening session. The intraday view though, will remain negative until prices stay below 24900 levels. A daily close below 24600 will open up downside targets of 24450/24300 levels for Gold.

Silver –Daily Chart

Silver: Silver prices are consolidating between its crucial support between 33400-33300 zones. Until prices hold on to this support zone prices can rebound towards 33650/33700 levels. Resistance for the session is seen between 33700-33750 zones. A decisive break below 33300 will see prices slip towards 33000/32800 levels.

Crude –Daily Chart

Crude Oil (Rs/Bbl): Crude oil prices closed on a flat note yesterday. We expect prices to rebound towards 2970/2990 areas on the upside. Failure to sustain at higher levels will see prices retrace lower towards 2900 levels again. A daily close below 2900 levels will see prices move lower towards 2830 levels. A near term reversal in the counter is likely only once prices close above 3035 levels.

Natural Gas –Daily Chart

Natural Gas (RsJMmbtu): Natural gas prices have managed to rebound from its swing lows at 174.30 over the past 3 sessions. Failure to decisively breakout above 182 will see prices retrace lower towards 178 levels. Immediate support for the counter is seen around 178-177.50 zones Until this support holds dips will find buying support.

Copper –Daily Chart

Copper: Copper prices couldn't sustain at its intraday highs at 336.65 levels yesterday. The counter will remain range bound until prices hold on to support around 330 areas. Upside resistance for the counter is seen around 336-337 zones. Dips and reversals from lower levels can be bought by day traders. Any major reversal in trend is likely only once prices breakout above 345 levels.

Zinc –Daily Chart

Zinc: Zinc prices are facing resistance around 123.50-123.80 areas. Sustenance below 120.90 will see prices weaken towards 120.25/119.80 levels. A near term reversal in the counter is likely only once prices breakout above 124 levels decisively. Until then rallies towards 123.50-123.80 will face selling.

Lead: Aug. Lead prices closed with a gain of 1.55% yesterday. The intraday outlook for lead will remain positive until prices stay above 109 levels. Until then dips towards 110/109.50 will find buying support and prices will rebound towards 111.501112 levels. A break below 109 will see prices weaken towards 1081107.50 levels.

Nickel: Aug. nickel prices are consolidating in a narrow range between 690 to 704 levels. Prices need to breakout and trade above 705 levels to rally towards 710/712.50 levels. On the downside a break below 690 will open up downside targets of 685/680 levels in nickel.

Aluminium: Aug. aluminium prices continue to be range bound between 102.60-101.75 levels. Any major upside reversal in the counter is likely only once prices breakout above 103 levels decisively. The downtrend will resume once prices decisively breakdown below 101.70 levels. Prices will correct towards 101/99.20 levels.

Courtesy : Emkay Commotrade