Base Metals - Dec 21, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC Securities

Base metals prices witnessed mixed trading on Monday with Copper, Aluminium prices traded off the recent highs while Nickel and Zinc prices kept firm trading range. Base metals may trade under pressure on stronger dollar and demand growth worries over spreading corona virus strain. The slower economic recovery from UK and Europe over virus restriction may cap upside for short term in base metals.

Copper prices are in strong bull run over higher demand from China along with steady economic rebound. Copper inventories combined with SHFE and LME has declined to the lowest since 2014.

MCX Copper December support lies at Rs. 610 and resistance at Rs. 620. MCX Zinc December support lies at Rs. 221, resistance at Rs. 226. MCX Nickel December support lies at Rs. 1300 with resistance at Rs. 1330.

Source : Equity Bulls

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