Nickel yesterday traded with the positive node and settled 0.21% up at 876.50 tracking LME nickel prices which opened at $15,620/mt and climbed due to the beyond expected US non-farm payrolls to close at $15,720/mt, up $120/mt from the previous trading day, with the intraday high at $15,790/mt, and a low of $15,516/mt. The favorable news on US non-farm payrolls continued to boost market overnight with an absence of other important reports, and the US dollar index remained weak, leaving most LME base metals ending higher. On August 6, Germany claimed no crisis threatening to lead to the collapse of the euro zone was seen, while the country’s central bank reiterated its objection to the ECB’s bond buying. Meanwhile, it was reported IMF was prompting euro zone governments to take actions to ease the repayment pressures of Greece. The European debt crisis remains a major concern. Besides, China’s will release its July’s major economic data including CPI and PPI. Investors mainly focus on domestic demand with trading in Europe and the US remaining weak. As such, market will be wary before any releases. In yesterday's trading session nickel has touched the low of 869.6 after opening at 873.1, and finally settled at 876.5. For today's session market is looking to take support at 871.1, a break below could see a test of 865.8 and where as resistance is now likely to be seen at 880.2, a move above could see prices testing 884.0.
Nickel trading range for the day is 865.83-884.
Nickel gains on US non-farm payrolls continued to boost market overnight with an absence of other important reports
Market confidence was boosted by hopes of further action by ECB to help cut borrowing costs in Italy and Spain
Traders this week looking ahead to Chinese industrial production, inflation data
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