Aluminium settled up 0.48% at 94.30 tracking firmness from Aluminium on the Shanghai Futures Exchange is hovering near record lows for the contract, but market expects that prices will have to fall further before Chinese smelters will cut output and exports. Prices may see some support as weak Chinese industrial profits data reinforced views that Beijing will roll out additional support measures for the world's second largest economy. Data showed that Chinese industrial profits slipped 0.1% from a year earlier in September, compared to an 8.8% tumble in the previous month. Prices have been under pressure in recent sessions as persistent worries about future demand from top consumer China weighed. The PBOC cut its benchmark interest rate by a quarter percentage point, the latest in a series of measures aimed at stimulating economic activity and boosting growth. It was the sixth rate cut over the past 12 months, fueling concerns that economic growth is weakening more than is currently expected. LME aluminum was the worst performer of all base metals in the week ending October 23, 2015, falling by 4.9% last week and closing at 1496$ per MT. Aluminum has been the only metal to have fallen since the lows of August 24, 2015. It's also now trading at the lowest price levels since 2009, primarily due to global oversupply and falling demand. Since the beginning of 2015, Aluminum has fallen by ~20%. In addition to oversupplied markets and the slowdown in the Chinese economy, the primary Aluminum supply of China for the first eight months rose by 18.7%, to 2.7 million tons, adding to price pressures. Technically market is getting support at 93.9 and below same could see a test of 93.5 level, And resistance is now likely to be seen at 94.8, a move above could see prices testing 95.3.

Trading Ideas:

Aluminium trading range for the day is 93.5-95.3.

Aluminium prices seen supported as expectations of a weaker dollar fuelled a short-covering rally

Aluminium on the SHFE is hovering near record lows for the contract, and prices looks to fall further before Chinese smelters will cut output and exports.

Russia's United Company Rusal Plc held its aluminium output steady in the third quarter and reaffirmed it was reviewing some of its operations