Nickel yesterday settled up by 1.51% at 831 tracking LME nickel price which closed higher at USD 14,876/mt, up USD 62/mt as Asian stocks markets generally rose and US data released was upbeat, with Conference Board CCI in May rising to 76.2, much higher than expectations and the previous month, pushing up the US dollar index. The US Conference Board announced yesterday that the country's Consumer Confidence Index rose to 76.2 in May, the highest level since February 2008 and beating the forecast of 71.0. This is due chiefly to consumers' growing optimism over current economic situation and labor market. S&P and Case-Shiller's surveys found that 20 major US cities saw a 10.9% year-on-year rise in home prices in March, the largest gain since April 2006, which will bolster the country's economic recovery. Home prices in these cities rose by a non-seasonally adjusted 1.4% from previous 0.3%, above the 0.7% forecast. Last week, Greece's 10-year government bond yields were lower than those of 30-year government bonds. These signal further ease in the European debt crisis. Technically market is under short covering as market has witnessed drop in open interest by -11.98% to settled at 14278 while prices up 12.4 rupee, now Nickel is getting support at 821.6 and below same could see a test of 812.2 level, And resistance is now likely to be seen at 836.7, a move above could see prices testing 842.4.

Trading Ideas:

Nickel trading range for the day is 812.2-842.

Nickel gains after US data shown strength and market expected improvement in consumption and further economic recovery.

US home prices jumped 10.9% in March compared with a year ago, the highest level in seven years.

Italy sold EUR 3.49 billion worth of mid-term government bonds on Tuesday through auction, with two-year government bond yields