CO:Aluminium futures continues to trade lower on MCX
AHMEDABAD (Commodity Online): MCX Aluminium yesterday traded with the negative node and settled -1.67% down at 106.3 as HSBC’s November China PMI contracted unexpectedly. Demand was weak at major consumption countries. Disappointing results of German bond sales added to worries that the Euro zone debt crisis is spreading into core countries of the region. As a result, investors sold their commodities to buy the safer US dollar, thereby driving the US dollar index to above 79.
Mixed economic data from the US failed to improve the pessimistic market sentiment.US and European markets Wednesday continued to absorb China's sluggish HSBC Manufacturing PMI, while the Euro-zone's manufacturing data announced in the evening was weak and the US job reports and durable goods orders figure were all negative.
For today's session MCX Aluminium Nov contract is looking to take support at 104.8, a break below could see a test of 103.4 and where as resistance is now likely to be seen at 107.9, a move above could see prices testing 109.6.
MCX Aluminium futures trading range is 103.4-109.6.
Intrday traders can sell MCX Aluminium Nov contract 106.3 with the stop loss of 107.3 and can wait for the targets of 105.1 and 104.4.
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