VIEWS: 9 PAGES: 7 POSTED ON: 7/13/2011
06 July 2011 Daily Commodity Report Daily Metals & Energy update Gold futures advanced on Wednesday, extending sharp gains made the previous day in New York, with Europe’s debt troubles back on center stage. Gold for August delivery rose $5.60 to $1,518 an ounce in electronic trading. MCX Gold August contract is currently trading at `22036, it is trading marginally positive for the day. MCX Silver Sep is currently trading at `53833, it is trading up by 1.33% for the day. The SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, is currently holding to 1,205.81 tonnes as of latest available data. It remained unchanged versus the previous holdings. The dollar index which measures the U.S. unit against a basket of six currencies, rose by 0.56% yesterday. It is currently trading at 74.67. Commodities, which are priced in dollars, often move inversely with the U.S. currency. Moody's Investors Service issued a four-notch downgrade on Portugal's rating, placing the European nation into junk as the ratings agency expressed concern about the growing risk of a second round of financing before it can return to the private market. The woes surrounding Portugal come as Greece, another flailing European nation, continues to worry international markets about possible default on its debt. Portugal is aiming the cut the deficit to 5.9% of gross domestic product this year, from over 9% in 2010, and then to 3% by 2013. Benchmark crude-oil futures extended gains in electronic trading Wednesday, supported by a softer dollar, ahead of two U.S. inventory reports expected to reveal a drop in stocks for the fifth straight week. Crude for August delivery rose 53 cents, to $97.45 a barrel on the New York Mercantile Exchange during Asian trading hours. MCX Crude Oil July contract is currently trading at `4236. All Base Metals in MCX are trading flat in today's morning session. Nickel is marginally up by 0.5% for the day. Geojit Comtrade Ltd. Major economic data to be released today: ISM Non Manufacturing Data. 704, Dev Plaza, Opp. Irla Fire Brigade, S.V. Road, Andheri West, Mumbai - 400058. Geojit Comtrade Ltd. 06 July 2011 TECHNICAL UPDATE MCX GOLD AUGUST ( ` 22020) The daily RSI has triggered buy signal after taking support on the oversold line. We have seen a strong rally yesterday. We expect further upside momentum to continue to test 22150 levels. Trading Call: Buy above 22050 levels with a stop loss placed below 21980 levels for targets of 22150 levels. MCX SILVER SEPTEMBER ( ` 53700 ) The daily prices have bounced back sharply after garnering support on the 200 DMA levels. The daily RSI has triggered buy signal from the oversold zone. Strong support is seen near 49500 levels. Today's up move has given a breakout from a falling trend line resistance. We expect short term rally to test 55000 levels. Trading Call: Buy above 54000 levels with a stop loss placed below 53300 levels for targets of 55000 levels. Geojit Comtrade Ltd. 06 July 2011 TECHNICAL UPDATE MCX CRUDE OIL JULY ( ` 4346 ) The daily prices have seen a strong rally yesterday. The daily RSI is in rising mode. Prices have crossed the 200 DMA levels. We expect further upside momentum in short term for targets of 4400 levels. Trading Call: Buy above 4350 levels with a stop loss placed below 4310 levels for targets of 4400 levels. MCX NATURAL GAS JULY ( ` 194.10 ) Prices continue to trade in a range of 188 and 198 levels from past few days. We expect this sideways consolidation to continue for short term. The intraday chart suggests bounce hence, short term traders can buy the support for a short term up move. Trading Call: Buy on dips to range of 192-193 levels with a stop loss placed below 190 levels for targets of 198 levels. Geojit Comtrade Ltd. 06 July 2011 TECHNICAL UPDATE MCX COPPER AUGUST ( ` 427.25 ) The daily RSI is near overbought zone. If prices move above 429 levels, we may see further upside momentum to test 440 levels in short term. The short term trend is up. We continue to remain bullish until prices breaks 416 levels. Trading Call: Buy above 429 levels with a stop loss placed below 424 levels for targets of 435 levels. MCX NICKEL JULY ( ` 1047.20 ) The daily price chart suggest that prices are witnessing resistance near the 1050 levels. A sustained move above this level may see a short term rally to test 1065 / 1070 levels. Trading Call: Buy above 1052 levels with a stop loss placed below 1040 levels for targets of 1065 / 1070 levels. Geojit Comtrade Ltd. 06 July 2011 TECHNICAL UPDATE MCX LEAD JULY ( ` 119.65 ) The daily prices looks weak at higher levels and the daily RSI is also showing signs of weakness as it has triggered a sell signal. A sustained move below 118 levels may see declines to test 117 / 116 levels in short term. Trading Call: Sell below 118 levels with a stop loss placed below 119 levels for targets of 117 / 116 levels. MCX ZINC JULY ( ` 106.50 ) The daily prices have witnessed a strong rally from the recent lows of 97 levels in past two weeks. However, this rally is now likely to halt as the daily RSI is in overbought zone. Trading Call: Sell below 106 levels with a stop loss placed above 107 levels for targets of 104.50 levels. (Intraday call) Geojit Comtrade Ltd. 06 July 2011 TECHNICAL UPDATE NCDEX STEEL LONG JULY ( ` 30400 ) The daily prices are moving in a falling channel formation as shown in the chart above. Prices are near falling trend line resistance. We expect prices to decline to test 29600 levels. Traders can sell with a stop loss placed above 30700 levels. Trading Call: Sell in the range of 30350-30450 levels with a stop loss placed above 30650 levels for targets of 30000 / 29800 levels. CONOMIC DATA FOR THE DAY COUNTRY TIME INDICATOR PERIOD SURVEY PRIOR EC 17:00 Challenger Job Cuts YoY June -4.3% EC 19:30 ISM Non Manufacturing Composite June 53.50 54.60 Geojit Comtrade Ltd. 06 July 2011 Research Department - Institutional Desk Geojit Comtrade Ltd. Sumit Verma 704 Dev Plaza email@example.com Opp. Irla Fire Brigade, Contact: 919987476959 S.V. Road, Andheri West, 022-61312127 Mumbai - 400058. Disclaimer: The information contained here was gathered from sources deemed reliable; however, no claim is made as to accuracy or content. This does not contain specific recommendations to buy or sell at particular prices or time, nor should any examples presented be deemed as such. There is a risk of loss in commodity trading and commodity options and you should carefully consider your financial position before making a trade. This is not, nor is it intended, to be a complete study of chart patterns or technical analysis and should not be deemed as such. Geojit Comtrade Ltd. does not guarantee that such information is accurate or complete and it should not be relied upon as such. Any opinions expressed reflect judgements at this date and are subject to change without notice. For use at the sole discretion of the investor without any liability on Geojit Comtrade Ltd. Geojit Comtrade Ltd.
Pages to are hidden for
"Daily Commodity Report"Please download to view full document