24 February 2014

COMMODITY OUTLOOK FOR MONDAY 24 FEB 2014

Trading Call for the day: "Sell Crude Oil in the range 6395-6400 with Stop Loss 6420 Target 6360."

"On Friday’s trading session, our trading call of Natural Gas achieved our target of 386. Sell was given in the range of 392-392."
Precious metal
On Friday’s trading session Gold settled flat at 29889 as prices recovered from lows as doubts over U.S. economic recovery helped lift bullion’s safe-haven appeal. Silver settled flat at 47467 as prices recovered from lows after investors digested the latest in a series of hit-and-miss economic indicators, this time soft U.S. home sales, and concluded that even though the Federal Reserve remain on course to dismantling stimulus programs, it will do so gradually. The two commodities are expected to trade with positive bias for the day. Support for Gold is at 29800 & resistance at 30150. Support for Silver is at 47150 & resistance at 47800.
Base metal
On Friday’s trading session base metals closed flat to negative as concerns over growth in top consumer China weighed on the market, although a survey showing brisk U.S. manufacturing underpinned prices. Base metals traded with negative bias most of the trading session and the intermediate negative trend is still intact. The base metals are expected to trade with negative bias for the day.
Crude oil
MCX Crude Oil settled down -0.86% at 6359 as the fierce U.S. winter weather that has supported heating fuel demand gave way to milder temperatures, triggering a selloff in heating oil. Crude Oil might face resistance near 6400 and if managed to sustain above that then rise till 6460 can be seen. Intraday support for Crude Oil is at 6360 and resistance at 6410.
Natural gas
MCX Natural Gas settled down -2.12% at 378 as pressure seen due to profit booking though prices rose nearly 18 percent for the week as a severely depleted storage level and projections for yet another bout of freezing weather boosted prices. The commodity shown some consolidation but the range was still wide and it is expected that this consolidation might continue in the large range of 360 to 400. Support for Natural Gas is at 378 and resistance at 400.
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