5 February 2014

COMMODITY OUTLOOK FOR 05-FEB-2014

Trading Call for the day: Sell Natural Gas in the range 329.5-330 with Stop Loss 335 Target 324.

Yesterday our sell call of Natural Gas achieved the target of 315. Sell was given in the range on 319.5-320.
Precious metals closed negative on yesterday’s trading session where Gold settled down -1.33% at 28632 slipped as a modest rebound in equities dampened safe-haven interest in the metal and physical purchases in top buyer Asia were quiet. Silver settled down -0.69% at 43557 remained lower on Tuesday, after data showed that U.S. factory orders fell less-than-expected in December. The two commodities are expected to trade sideways for the day. Support for Gold is at 28600 & resistance at 28880. Support for Silver is at 43400 & resistance at 44150.
 On yesterday’s trading session all base metals closed negative as investors and speculators exited positions in the industrial metal amid concerns that a slowdown in manufacturing in the US and China the world’s two biggest economies may cloud the demand outlook for base metals. The trend for the base metals is still negative but might reverse from today.
 MCX Crude Oil settled down -0.13% at 6075 traded in the range and support seen as markets viewed the growth-sensitive commodity as oversold after Monday’s market rout, the product of a weak U.S. factory report. Crude Oil is expected to trade within the range for the day. Intraday support for Crude Oil is at 6050 and resistance at 6150.
 MCX Natural Gas settled up 7.37% at 333.60 soared after updated weather forecasts downplayed recent calls for a warming trend across portions of the eastern U.S. The commodity entered into corrective phase and is expected to trade sideways for the day but the range would be very big. Support for Natural Gas is at 320 & resistance at 335.
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