By Mr. Vivek Gupta- Director Research Commodity market outlook
Technically, MCX Silver March futures is sideways and sustaining around lower levels. For the coming week 45000/46800 will act as major resistance levels where as 41600/40000 will act as major support in MCX Silver March futures. For the next week in MCX Silver futures, traders can use sell on higher level strategy, if MCX Silver March futures sustains below 43500 then it could test the levels of 42450/ 41000.
Energy:- U.S. crude oil futures rose on Friday spurred by U.S. refinery oil demand for strong exports and a short covering rally also supported prices. Striking workers shut a fourth refinery, which has hurt 700,000 bpd of capacity, boosting Europe’s need for imports and supported oil prices. U.S. demand for petroleum products rose to 19.4 million barrels per day, up 4.9 percent year-on-year, and the highest November level in six years. Crude oil prices are expected to move up as refinery strikes in France and improved outlook for US oil demand can support prices.
For the coming week 6150/5900 will act as major supports levels whereas 6500/6710 will act as major resistance in MCX Crude oil January futures. For the next week, trader can go for buy on lower level strategy, if MCX Crude January future sustain above 6250 levels then it could test the levels 6348/6470.
Base Metal:- Copper prices hit a nearly three-week low after the Fed trimmed the pace of its monthly asset purchase. Prices were further hurt after US manufacturing index and existing home sales data came much below expectations. However, stockpiles on LME dropped 1,025 tonnes to 383,925 tonnes, lowest level since Feb. 1, reflecting firm demand for the industrial metal which limited the downside in metals. Base metals are expected to move higher today as tighter supplies and falling inventories are likely to support prices.
Trend of MCX Copper February future is in consolidation and also sustaining around higher levels. For the coming week, it could face major resistance of 482.30/496 whereas 454/440could be a major support in MCX Copper. For the next week trader may follow buy on lower levels strategy, if MCX Copper future sustain above 463 levels then it could test the level of 472/482.30.