Commodity Market View for 19 Oct’2012

GOLD:

Gold trading projected high range for the day is 31381-31519

Gold trading projected low range for the day is 31265-31127

Gold gains on rupee weakness despite prices dropped in international as a strong greenback depressed demand for dollar

Demand from gold importers in India appeared to wane as a weaker rupee drove up domestic prices

Gold market appears to have factored in optimism related to the U.S. Federal Reserve’s monetary stimulus announced in September

Gold is trading below 50DMA, which is at 31624

Major Resistance on upside at 31470-31569-31668

Trend Deciding Level at 31293

Major Support on downside at 31394-31017-30918

Today’s Trend: Positive-Strategy buy gold on dips

SILVER:

Silver trading projected high range for the day is 60833-61297

Silver trading projected low range for the day is 60659-60195

Silver ended with gains on rupee weakness tracking firmness in base metals and crude prices

German Chancellor Angela Merkel opposed giving ECB new banking supervision powers before a January 2013 target date.

Holdings at ishares silver trust gained by 27.41 tonnes to 9888.85 tonnes

Silver is trading below 50DMA, which is at 61

Major Resistance on upside at 60833-61297

Trend Deciding Level at 60572

Major Support on downside at 60166-59644-59238

Today’s Trend: Positive-Strategy buy silver on dips

CRUDE:

Crude trading projected high range for the day is 4945-4990

Crude trading projected low range for the day is 4900-4856

Crude oil gains supported by news that TransCanada Corp had shut Keystone crude oil pipeline to U.S. Midwest and Midcontinent.

Supply disruption concerns stemming from Iran’s disputed nuclear programme are also putting a floor under oil prices.

China’s refinery throughput in September rose 7% from a year earlier to a record daily rate of 9.43 million bpd.

Major Resistance on upside at 4975-5005-5034

Major Support on downside at 4885-4827-4797

COPPER: Copper trading projected high range for the day is 444-447

Copper trading projected low range for the day is 442-439

Copper gains boosted by data that showed China’s economy stabilizing and recovery gathering pace in U.S. housing sector.

China reports, including retail sales and industrial output figures beat forecasts, easing fears over a ‘hard landing’

Major Resistance on upside at 446-448-450

Trend Deciding Level at 442.37

Major Support on downside at 441-437-435 MENTHOL OIL:

Menthol Oil trading projected high range for the day is 1194-1207

Menthol Oil trading projected low range for the day is 1190-1177

Menthol Oil spot is at 1369/-.Spot market is down by Rs.9/-.

Menthol Oil ended with gains tracking firm spot demand on pharmaceutical demand at lower prices.

Traders expect demand to rise ahead of the winter season and the Festive season.

On 17th October, total stock of Menthol Oil at MCX-monitored warehouses at Chandausi was 1, 00, 677 kg

Major Resistance on upside at 1202-1225-1223

Trend Deciding Level at 1187

Major Support on downside at 1177-1162-1152

Today Commodity Advises:

  • BUY CARDAMOM MCX NOV @ 905-900 SL 890 TGT 918.50-928-936.

Today Major Global Events:

Date & Time

Region

Event

Period

Survey

Prior

19/10/12 & 19:30

GE

Producer Prices {MoM}

Sep

0.30%

0.50%

19/10/12 & 89:00

EC

ECB Euro-Zone Current Accounts SA

Aug

9.7B

17/10/12 & 18:00

Us

Existing Home Loans

Sep

4.75M

4.82M