The supply of nickel may fall short on the demand in 2010. The production of nickel has increased by 4.3% since 2009 and the production of stainless steel has increased by 11.2%. Nickel has touched a low of Rs 1055.2 a kg after opening at Rs. 1074.2, and last traded at Rs 1058.3. For today market is looking for the support at 1050.3, a break below could see a test of 1042.4 and where as resistance is now likely to be seen at 1071.1, a move above could see prices testing 1084.

Trading Ideas:

Nickel trading range is 1042.4-1084.

The supply of nickel may fall short on the demand in 2010

Nickel is getting support at 1050.30 and resistance is at 1064.80.

Spread between nickel SEP & OCT contracts yesterday traded in the range of 5.40 - 7.