Chinese Deputy Prime Minister Liu He, U.S. Trade Representative Robert Lighthizer as well as U.S. Treasury Secretary Steven Mnuchin conducted a phone call on Phase One Agreement concerns two days after a statement that both sides were “getting closer to reaching agreement” on the contract.
Here is how SMC expects commodities to trade today:
Bullion: Gold will move down to Rs 37,500 while experiencing resistance close to Rs 37,900 as well as silver can check Rs 43,800 while experiencing resistance close to Rs 44,300.
Base metals: Base metals can trade to negative sideways. Although facing resistance near Rs 434, copper may fall towards Rs 430. Zinc (Dec) can dip in the direction of Rs 183 as it faces resistance close to Rs 187. Lead can trade sideways as it can take support close to Rs 152 and resist Rs 155. Nickel (Dec) will recover to Rs 1,070 while supporting Rs 1,050. Aluminum (Dec) can slide below Rs 129 while the resistance is close to Rs 132.
Energy: Crude oil NSE 0.49 percent can be seen moving sideways. While facing resistance near Rs 4,205, it can dip towards Rs 4,100. Natural gas, while facing resistance near Rs 186, can open on weaker note testing Rs 182.
Spices: Turmeric futures (Dec) are expected to plunge into Rs 5,600-5,500 testing further. Jeera futures (Dec) trading near their four-month low is likely to be extended to Rs 15,500 if it crosses Rs 15,950. It is predicted that Dhaniya futures (Dec) will support near Rs 6,750-6,700. Cardamom futures (Dec) could hold on to its 200-day EMA support near Rs 2,590 as well as trade upside down Rs 3,000-3,100 for testing.
Oilseeds: In the range of Rs 4,020-4,080, soybean futures (Dec) can remain steady and witness consolidation. Mustard futures (Dec) are expected to report gains for the third week in a row and move higher to Rs 4,350-4,380, maintaining support close to Rs 4,330. The bullish momentum is expected to continue in CPO futures (Dec) supporting close to Rs 665, whereas soy oil futures (Dec) the trade-in Rs 800-805 with a positive bias.