SHANGHAI, Mar 19 (SMM) –
Copper: LME copper lost the support from the five- and 10-day moving averages as the US dollar strengthened, while its SHFE counterpart performed no better. We expect LME copper to trade at $6,830-6,900/mt today, with SHFE copper at 51,400-51,900 yuan/mt. Spot discounts are seen smaller at 250-200 yuan/mt.
Aluminium: LME aluminium gradually fell with resistance at the $2,100/mt level. We expect it to trade at $2,075-2,095/mt today. SHFE aluminium climbed up slowly and hovered around the 14,000 yuan/mt level. We see it trading at 13,950-14,150 yuan/mt today. Spot discounts are seen at 170-130 yuan/mt.
Zinc: LME zinc consolidated with strong resistance at the $3,300/mt level as investors held back. We expect it to be rangebound at $3,225-3,275/mt today. SHFE zinc rebounded from lows but failed to stand above the 25,000 yuan/mt level. We see it trading at 24,700-25,150 yuan/mt today. The 0# common brand is likely to trade at a discount of 90-60 yuan/mt and Shuangyan brand at a discount of 50-30 yuan/mt.
Nickel: With support from the steadily declining inventory, we see LME nickel remaining rangebound with downward pressure today and SHFE nickel 1805 contract trading at 102,000-103,500 yuan/mt today. Spot prices are seen at 101,200-103,000 yuan/mt.
Tin: LME tin hovered around at the 60-day moving average and closed at $21,985/mt last Friday, slightly lower than the day before. We expect it to remain rangebound with support at $20,600/mt today. SHFE tin inched up with resistance at five-day moving average last Friday. We see it trading rangebound at 144,000-145,500 yuan/mt today.
Lead: SHFE lead inched up above the 10-day moving average last Friday, and we expect it to remain rangebound today and test resistance at 18,600 yuan/mt. With pressure from shorts and a stronger US dollar, LME lead dropped to a low of $2,370/mt last Friday. It is set to test the $2,400/mt level today.
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