Outlook: Oil looks to strike Rs 4,140 mark

MCX Gold can move higher towards Rs.32,300, taking support from Rs.32,100.

ETMarkets.com | Mar 26, 2019, 10.57 AM IST

NEW DELHI: The bullion counter is looking to gain some more weight today, in step with global gold prices that hovered around one-month high.

The prices ruled strong in the previous session too as demand for safe haven assets improved after treasury yields and equities fell on possible US recession and global growth concerns, Reuters reported.

Crude oil firmed up, aided by ongoing supply cuts led by producer club Opec.

Let’s look at a few projections on various commodities by brokerage SMC Global Securities.


The yellow metal may trade with a positive bias. MCX Gold can move higher towards Rs 32,300, taking support from Rs 32,100. Silver can test Rs 38,700, finding comfort near Rs 38,300.

Base metals: Base metal prices may trade sideways. MCX Copper may take support near Rs 433, facing resistance near Rs 440. Zinc can take support near Rs 196, facing a hurdle near Rs 200. Lead can move in the range of Rs 137-140. Nickel may slip lower towards Rs 878. Aluminium prices may trade in the range of Rs 147-149.

Energy: Crude oil may trade in a positive territory, tracking global trend. It may improve towards Rs 4,140. Natural gas (April) may witness lower level buying and can test Rs 195, taking support near Rs 190 on MCX.

Spices: Turmeric futures are getting hammered by the dearth in domestic as well as export demand. This counter will possibly plunge further and may make a new low by testing the quarterly support of Rs 5,925 levels. Jeera futures are likely to witness consolidation in the range of Rs 15,450-15,550 levels. Coriander futures are likely to move higher and may test Rs 6,650-6,690 levels. In days to come, it may trade higher towards Rs 6,700-6,750 levels owing to projections of a lower crop.

Oilseeds: Soybean futures are likely to move sideways in the range of Rs 3,680-3,715 levels. Soy oil futures are seen to witness consolidation in the range of Rs 734-738 levels. The recovery in CPO futures will possibly get limited to Rs 530. Mustard futures are likely to see an upside momentum towards Rs 3,750, taking support near Rs 3,725 levels.

Other commodities: Cotton futures may witness some correction towards Rs 21,500, facing resistance near Rs 21,750 levels. Chana futures are not being able to hold up the gains due to ongoing domestic arrivals, supply from overseas and sluggish sale counters in processed pulses. Guar seed futures are expected to witness profit booking and may test Rs 4,350 level while guargum futures may descend towards Rs 8,800.


Author: Prakash Poojary

Business Analyst

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