Aluminium yesterday traded with the positive node and settled 1.38% up at 123.6 after PPI for March in the euro zone rose by 0.7%, slightly higher than the forecast, and the euro rebounded in response. US factory orders for March rose by 3.0%, much better than the forecast of a 0.7% increase. In this context, LME base metals prices rose during the European trading hours, with the US dollar index fluctuating around 73. LME aluminum prices overnight fluctuated and found support at USD 2,740/mt in the morning, and surged to USD 2,800/mt level due to positive US economic data, then rose to a record high of USD 2,803/mt since August 2008. Trading volumes increased slightly, and with prices finally closing at USD 2,786.8/mt, up USD 22.8/mt. For today's session market is looking to take support at 122.3, a break below could see a test of 120.9 and where as resistance is now likely to be seen at 124.6, a move above could see prices testing 125.5.

Trading Ideas:

Aluminium trading range is 120.9-125.5.

Aluminium yesterday traded with the positive node after PPI for March in euro zone rose by 0.7%,

Aluminium is taking resistance at 124.60 and support is seen at 122.30.

Aluminium daily stocks at Shanghai exchange came down by 2359 tonnes.