Base Metals Trading Tips and Commodity Market Update: Nirmal Bang

copperCopper, nickel and zinc prices rose more than 4 percent on Wednesday as global share price gains, fuelled by stronger than forecast U. S. jobs data that helped lift demand sentiment.

Shanghai copper prices rallied sharply on Thursday (0830 IST), chasing steep gains in London after a U. S. private sector jobs report injected further confidence into investors hoping the worst of the economic downturn has passed.

LME copper stocks rose 7,225 tonnes to 402,150, the first rise since early April as metal landed in Europe and South Korea. The rise may be a sign of slowing demand from China, but others had been looking for increases for about a week, as warehousers have been offering incentives to place material in storage to offset recent outflows.

Australia's Alumina Ltd forecast a further 7 percent contraction in world aluminum demand this year, mostly in the Western countries.

Base metals put up a handsome show with zinc, copper and nickel leading from the frontadvanced by more than 6% on MCX.

We expect Aluminum prices to move up and for copper we recommend to book profits between rs. 243-245 on the MCX.

Copper technically looks strong and the next target seems to be Rs. 245/kg. These are the levels we recommend to book profits on.

Zinc broke out well yesterday and technically it looks strong and may test Rs. 80 on MCX during the day.