Aluminium yesterday traded with the positive node and settled 0.35% up at 113.5 traking LME aluminum prices which opened at USD 2,523/mt, and later rebounded after falling to a low of USD 2,495/mt, and finally closed at USD 2,530/mt, up USD 2/mt compared with the previous trading day. LME aluminum inventories fell by 850 mt to 4,620,500 mt. The NAR announced on Wednesday that the US existing home sales in January rose by 2.7%. The unrest in Middle East and North Africa continued to push up crude oil prices and the ECB's possible move to raise interest rate to combat inflation caused the US dollar index to decline. The US dollar index opened at 77.72 and closed at 77.32, down 0.52%.For today's session market is looking to take support at 112.2, a break below could see a test of 110.8 and where as resistance is now likely to be seen at 114.3, a move above could see prices testing 115.

Trading Ideas:

Aluminium trading range is 110.8-115.

Russia's aluminum output in January increased by 3.1% compared with January 2010

Aluminium is taking support at 112.20 and resistance at 114.80 level.

Aluminium daily stocks at Shanghai exchange came down by 669 tonnes.

YESTERDAY LME STOCK FOR ALUMINIUM CAME DOWN  BY -850