 "Indian copper smelters feel the pinch as China laps up key ingredient")
Copper Outlook
Copper fell for the third day as Chinese factories resisted record prices and hawkish UD Fed comments pressured base metals.
Prices have dropped 7 per cent since Monday's record high, with a significant intraday drop due to profit-taking and weaker Chinese demand. Copper was down 0.8 per cent to $10,339.50 a tonne on the London Metal Exchange. Other metals, including Aluminum and Nickel, also fell by over 1 pe cent.
Prices have dropped 7 per cent since Monday's record high, with a significant intraday drop due to profit-taking and weaker Chinese demand. Copper was down 0.8 per cent to $10,339.50 a tonne on the London Metal Exchange. Other metals, including Aluminum and Nickel, also fell by over 1 pe cent.
Technical outlook for Copper
On the daily timeframe, Copper has formed a bearish engulfing pattern, indicating a potential bearish trend. A close below 877 would confirm this bearish trend. Upside resistance levels are around 905 and 915, while support levels are at 877 and 850.
Copper Intraday Trading Strategy
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Sell MCX MAY COPPER futures at Rs 892 with a stop loss of Rs 905 and a price target of Rs 877
Crude oil outlook
China's independent oil processors are set to take the lowest volume of Russian ESPO crude in over three years due to shrinking profits and cheaper alternatives.
A South Korean processor purchased about 2 million barrels of US crude, including WTI Midland, at a premium of $2.80-$2.90 per barrel to the Dubai benchmark. Meanwhile, DME Oman crude was priced at a $1.68 per barrel premium to Dubai swaps. July WTI traded at a $3.99 per barrel discount to the Dubai swap, with July ICE Brent at $81.96 per barrel.
A South Korean processor purchased about 2 million barrels of US crude, including WTI Midland, at a premium of $2.80-$2.90 per barrel to the Dubai benchmark. Meanwhile, DME Oman crude was priced at a $1.68 per barrel premium to Dubai swaps. July WTI traded at a $3.99 per barrel discount to the Dubai swap, with July ICE Brent at $81.96 per barrel.
Crude oil technical outlook
On the daily timeframe, Crude oil is forming a bullish engulfing candlestick pattern, indicating potential bullishness. A close above 6515 would confirm the bullish trend. Resistance levels are around 6,590 and 6,660, while support levels are at 6,420 and 6,350.
Oil Intraday Trading Strategy
Buy MCX JUN CRUDEOIL futures at Rs 6,515 with a stop loss of Rs 6,420 and a price target of Rs 6,660.
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Disclaimer: Neha Qureshi is a senior manager, technical research analyst of commodities & currency at Anand Rathi Shares and Stock Brokers. Views expressed are her own.
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Disclaimer: Neha Qureshi is a senior manager, technical research analyst of commodities & currency at Anand Rathi Shares and Stock Brokers. Views expressed are her own.
