Nickel's three-month price on the London Metal Exchange fell by more than 3% at the close of trading on Thursday March 21, with risk-averse United States investment prompting a sharp sell-off across the complex while participants question details of the recent US Federal Reserve policy meeting.
Falling the furthest over the afternoon, nickel futures dropped a total of $470 per tonne to close below $13,000 per tonne, with analysts suggesting the move was a price correction. "I think the move down is more of a price correction," Sucden Financial's head of research Geordie Wilkes told Fastmarkets. "We're just above the 200-day moving average now, and we're seeing a golden cross in nickel charts [whereby the short-term moving average crosses above its long-term moving average], which could fuel some CTA buying."Yet with LME nickel stocks now at their lowest level in...