Base metals - Intraday tips for August 9, 2018

In trading sessions this morning, we saw all base metals forming an upside trend and traders feel the prices are consolidating.

Base metal pack have been highly volatile and testing the resistance again. Copper prices were seen touching 423 on MCX and we saw an increase in Aluminium prices.

As mentioned earlier, investors have been waiting for positive news that could change the trend and as expected it looks like tables are turning.

Looking at global news, indefinite strike at Alcoa’s alumina refineries in Australia and warnings of shutdowns by Rusal supported Aluminium prices. Based on the update from Reuters “the Alcoa plants accounts for around 9.3 million tonnes of capacity or some 8 percent of the world’s supply of alumina, the substance used to make aluminium.”

Base metal -

This seems to support the prices and we saw Aluminium prices moving up. We can expect an upside movement from here and prices might touch 155 on MCX.

On the other side looking at the trade war, China is imposing another 25 percent of tariffs on $16 billion worth of US imports on fuel and steel producers. This will affect growth and demand of steel and oil around the globe. Impact could also be positive for China’s growth.

Based on the recent developments around the globe, we can expect an upside momentum for few base metals specially Aluminium and Nickel


Copper has been trading range bound for quite some time and as time passes it is becoming more risky since the trend might change any day based on the trade war updates.
Being second last day of the week, I see Copper prices trading sideways with upside of 429 and downside of 419
Buy Copper above 421 for target of 229 with SL of 418. Would recommend buyers to wait till Friday evening sessions.


This base metal could be a hot pick for todays’ session. With recent updates from Alcoa’s refineries, an investor could initiate a long position around 144 (average at 142) with target of 149-153 in upcoming trading sessions. Do keep a SL of 139.


Nickel has been one of stable commodities looking at entire base metal pack. For intraday buy Nickel at 465 for target of 475 and SL of 460.

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