Commodity outlook: Energy counters slip; here’s how others may fare

NEW DELHI: Bullion counters were mixed while crude oil and natural gas traded with a cut in Friday’s trade even as tensions between US and China seemed to be easing.

Crude oil dipped 0.44 per cent to Rs 1826 while natural gas was down 0.82 per cent to Rs 144.40. Gold dropped 0.44 per cent to Rs 45960 but silver added 0.01 per cent to Rs 43,127.

Here is how SMC Global expects commodities to fare today:

Bullion: Bullion counters can trade with an upside. Gold can move towards Rs 46,400 while taking support near Rs 45,800 while silver may move towards Rs 43,600 while taking support near Rs 42,500.

Base metals: Base metals may witness positive movement. Copper can move towards Rs 410 while taking support near Rs 395. Zinc can move towards Rs 156 by taking support near Rs 151. Lead can move towards Rs 135 while taking support near Rs 130. Nickel can recover towards Rs 950 while taking support near Rs 915. Aluminum can remain in the range of 130-133.

Energy: Crude oil may extend its bounce back. It can recover towards Rs 1,950 while taking support near Rs 1,780. Natural gas can move sideways and can face resistance near Rs 150 and support near Rs 140.

Spices: Turmeric futures (May) is likely to face resistance near Rs 5,450 taking negative cues from the spot markets. The price outlook of cardamom futures is bleak and the short covering may face resistance near Rs 1,730. Jeera futures (May) is likely to consolidate and remain below the resistance near Rs 13,920 owing to slump in demand.

Oilseeds: Soybean futures (May) may trade higher towards Rs 3,900 taking positive cues from the US market. Mustard futures (May) is expected to test Rs 4,200 on the higher side supported by rising demand from the millers. Soy oil futures (May) is expected to witness an upside momentum towards Rs 772-775, while CPO futures (May) may gain towards Rs 582-585 taking positive cues from higher quoting soy oil on CBOT.

Other commodities: Cotton futures (May) is likely to witness an extended short covering towards Rs 15,800 taking positive cues from the international market. Chana futures (May) is expected to take support near Rs 4,150 and trade higher towards Rs 4,230. Guar gum futures (May) is expected to trade higher and test Rs 5,225- 5,280.