In the futures market, nickel for September delivery touched an intraday high of Rs 1,073.90 and a low of Rs 1,058.40 per kg on the MCX.
Nickel prices jumped to Rs 1,067 per kilogram on September 22 as participants increased their long position, as seen by more open interest positions.
Base metals continue to consolidate. Some profit-taking and risk aversion was seen in yesterday's session, as well as the buzz over a global money laundering list being published. United Kingdom Prime Minister Boris Johnson is also expected to unveil tougher measures to combat rising coronavirus cases.
Nickel prices are getting support from upbeat demand from China’s stainless steel sector.
Sunand Subramaniam, senior research analyst at Choice Broking said, “For the month ahead, we are expecting LME and MCX Nickel futures to witness downtrend on worries of declining demand from the battery sector in Germany amid the prevailing pandemic situation. The Chinese manufacturing and non-manufacturing PMI has shown recovery on monthly basis, but then the possibility of second wave of COVID-19 and global lockdown once again is likely to weaken the demand in the manufacturing sector.”
MCX iCOMDEX Base Metal Index gained 79.85 points, or 0.69 percent, at 11,726.52 at 19:42.
In the futures market, nickel for September delivery touched an intraday high of Rs 1,073.90 and a low of Rs 1,058.40 per kg on the MCX. So far in the current series, the base metal has touched a low of Rs 1,027.50 and a high of Rs 1,158.40.
Nickel delivery for September contract gained Rs 3.10, or 0.29 percent, to Rs 1,067 per kg at 19:35 hours with a business turnover of 1,461 lots. The October contract rose Rs 3.10, or 0.29 percent, to Rs 1,076.90 per kg with a turnover of 466 lots.
MCX Nickel price is expected to trade negatively with resistance at Rs 1,080 level and intermediate resistance at Rs 1,073 level, according to Motilal Oswal. The brokerage firm advised its clients to sell on rallies targeting lower support at Rs 1,060-1,052 zone.
The value of the September and October contracts traded so far is Rs 819.13 crore and Rs 89.73 crore respectively.
At 1408 (GMT), the base metal price was up 0.72 percent quoting at $14,652.50 per tonne in London.For all commodities related news, click here