Nickel on MCX settled up 1.28% at 706.6 as prices remained supported by an environmental audit in the Philippines, which has resulted in a number of mine closures. The audit impact has now been sidelined by evidence that the Indonesian government is seriously contemplating an amendment of the 2014 nickel ore export ban. China's economy performed better than expected in the third quarter and the country's debt risks are under control, Premier Li Keqiang said. In news, Chinese banks are stepping up lending to midsize metals traders in Singapore, pushing into a gap in the market as U. S. regulations and fading appetite for risk drive Western rivals to focus on larger commodity merchants, metals industry sources said. Indonesia will "almost definitely" keep in place a ban on nickel ore and bauxite exports, the country's mining minister said on Wednesday, just days after it had considered lifting the restriction to raise extra cash in an overhaul of mining rules. Indonesia banned metal ore exports in early 2014 to encourage miners to build smelters to create jobs and shift exports from raw materials to higher-value finished metals. But the government has been comprehensively reevaluating the domestic mineral processing requirements, amid concerns that the current deadline for full processing of all minerals by 2017 may not work for certain metals. Technically market is under short covering as market has witnessed drop in open interest by -8.22% to settled at 13462 while prices up 8.9 rupee, now Nickel is getting support at 703 and below same could see a test of 699.3 level, And resistance is now likely to be seen at 709.4, a move above could see prices testing 712.1.

Trading Ideas:

Nickel trading range for the day is 699.3-712.1.

Nickel gained as prices remained supported by an environmental audit in the Philippines, which has resulted in a number of mine closures.

The audit impact has now been sidelined by evidence that the Indonesian government is seriously contemplating an amendment of the 2014 nickel ore export ban

U. S. employment growth eased for a third straight month in September and the jobless rate rose.