Commodity outlook: Crude oil slips; here's how others may fare

NEW DELHI: Barring crude oil, all commodity counters gained on MCX on Monday. At the same time, most agri commodities traded with gains amid reports that the talks over economic stimulus from the US have hit another roadblock.

Gold was up 0.40 per cent while silver also added 1.61 per cent. All base metals were trading with gains led by zinc that advanced 1.28 per cent. Crude oil was down 0.84 per cent but its peer natural gas gained 5.25 per cent.

NCDEX Agridex, an agricultural futures index that tracks the performance of the ten liquid commodities, was up 0.55 per cent or 6.40 points at 1,172.15 led by gains in soybean and refined soya oil.

Here is how SMC Global expects commodities to fare today:

Bullion: Bullion counters may trade with bullish bias where gold may test Rs 51,400 and take support near Rs 50,300 while silver may trade with higher volatility where it may test Rs 64,000 and take support near Rs 61,600.

Base metals: Base metals may continue to trade sideways to bullish bias where copper can move towards Rs 533 and take support near Rs 524. Zinc may move towards Rs 197 and take support near rs 193. Lead can move towards Rs 150 while taking support near Rs 147. Nickel may trade with sideways to bullish bias where it may take support near Rs 1,080 and resistance near Rs 1,120. Aluminum may move towards Rs 152 while taking support near Rs 147.

Energy: Crude oil may again fall towards support of Rs 2,840 and resistance is seen near Rs 3,020. Natural gas may trade with higher volatility and may extend the bullish rally where resistance is seen near Rs 215 and support near Rs 197.

Spices: Turmeric futures (Nov) is expected to decline towards 5700 taking negative cues from the spot markets. Jeera futures (Nov) is likely to consolidate in the range of 13700-13800 with upside getting capped. Dhaniya futures (Nov) taking support near 6750 may trade higher towards 6900 levels.

Oilseeds: Soybean futures (Nov) is looking bullish and has further room upside to move higher towards 4150-4200. Mustard futures (Nov) may witness correction and decline towards 5430-5400. Soy oil futures (Nov) is expected to trade on a bullish note and test 940-945, while CPO futures (October) will probably zoom upside towards 795-800 levels respectively.

Other commodities: Cotton futures (October) is on a bull run and this shall continue till Rs 18,700-18,800 taking positive cues from the international market. Chana futures is expected to maintain its uptrend, hence buying on dips would be recommended eyeing a target of Rs 5,650-5,700 for the November contract. Guar seed futures (Nov) is expected to consolidate in the range of Rs 4,030-4,130. Guar gum futures (Nov) will probably trade steady with an upside bias in the range of Rs 6,020-6,120.