Nickel settled flat at 1158.10 as lack of important macroeconomic news, while prices hold near to the highest since May as the U. S. unemployment rate fell to the lowest in almost six years, signaling that stronger economies will boost demand amid supply curbs. Meanwhile the Chinese Premier Li Keqiang stated on Monday at a meeting with German Chancellor Angela Merkel that China is expected to meet the 2014 GDP growth target after its economy improved in the second quarter. Meanwhile, the People’s Bank of China (PBOC) recognized that China’s economic structure showed positive changes in the second quarter and it will employ flexible monetary policy to support the country’s economy. Nevertheless, latest data from the PBOC showed that China’s forex receipts plunged 99% to only RMB 361 million in May, indicating that supply and demand in the country’s foreign exchange market were reaching equilibrium. German industrial production declined in May by 1.8% MoM and grew by only 1.3% YoY, both missing April’s readings and expectations. Nickel raced to a high of $21,625 in May, but has since struggled to regain those levels as investors realised that no shortages had yet emerged due to high levels of stocks. Employment growth jumped in June while the jobless rate closed in on a six-year low, showing the U. S. economy was rebounding after a slump at the start of the year. That added to optimism spurred by data this week showing an upbeat outlook for global manufacturing, especially in China. The price was also being supported ahead of presidential election in Indonesia, where a new government is expected to reaffirm the ore export ban. Technically market is under short covering and getting support at 1146.5 and below same could see a test of 1134.9 level, And resistance is now likely to be seen at 1167.2, a move above could see prices testing 1176.3.

Nickel trading range for the day is 1134.9-1176.3.

Nickel settled flat as lack of important macroeconomic news, while prices hold near to the highest since May as the U. S.

PBOC recognized that China’s economic structure showed positive changes in the Q2 and it will employ flexible monetary policy to support the country’s economy.

Production of nickel will exceed demand by 50,000 metric tons this year before a deficit in 2015.

Warehouse stock for Nickel at LME was at 305394mt that is up by 858mt.

BUY NICKEL JULY @ 1145 SL 1130 TGT 1156-1172-1190.MCX