CapitalStars Research Expert view on Commodity Market for the week -22 to 27 Dec 2014

PRECIOUS METALS:-

IN THIS WEEK WE HAVE SEEN RANGE BOUND MOVEMENT IN BOTH THE PRECIOUS METALS i.e. GOLD & SILVER. SILVER HAS SHOWN MORE BEARISHNES THAN GOLD AS IT HAS IMPACTED FROM BASE METAL AS WELL.

IN THE COMING WEEK, PRECIOUS METALS WILL TRADE MIXED TO LOWER AS PRESSURE OF RISE OF INTEREST RATE IN U.S. IS SURE TO HAPPEN. ALSO STRONG DOLLAR & WEAK OIL PRICES WILL FURTHER ACT AS NEGATIVE FACTOR.

GOLD FEB CAN MOVE DOWNWARD TO THE LEVELS OF 26200 & THEN 25800 BREAKING SUPPORTS OF 26500 & 26000. REISTANCES ARE AT 27360 & 27700 LEVELS.

COMEX MARKET SUPPORTS ARE AT 1165 OUNCE & 1176 OUNCE & RESISTANCE ARE AT 1219 OUNCE & 1240 OUNCE.

SILVER MARCH CONTRACT IS ALSO IN BEARISH PAHSE & EXPECTED TO COME DOWN TO 35100 TO 34500 BREAKING SUPPORTS OF 36100 & 34900 LEVELS.

RESISTANCES ARE AT 37800 TO 38050 & 39350 LEVELS.

COMEX MARKET SUPPORTS ARE AT 15.40 CENT & 14.70 CENT & RESISTANCE ARE AT 16.85 CENT & 17.65 CENT.

BASE METAL SEGMENT:-

IN THIS WEEK WE HAVE SEEN RANGE BOUND MOVEMENT IN COPPER FEB CONTRACT. IT HAS MADE HIGH OF 414.90 & LOW OF 401.25 LEVELS.

IN THE COMING WEEK TOO, WE WILL GOING TO SEE SOME UPWARD MOVEMENT TO THE LEVELS OF 415-418 LEVELS WILL GET RESISTANCE OF 421-424 LEVELS & THEN COME DOWN TO 407-404 & 398-396 LEVELS BREAKING SUPPORTS OF 405 & 400 LEVELS

COMEX MARKET SUPPORTS ARE AT 2.84 MT & 2.78 MT & RESISTANCE ARE AT 2.97 MT & 3.01 MT.

ENERGY SEGMENT:-

CRUDE OIL JAN CONTRACT DROPED NEARLY 50% OVER THE PAST 6 MONTHS ON WORRIES ABOUT FAST GROWING U.S.SHAIL OIL SUPPLIES & ACCELERATED AFTER OPEC’s DECISION OF  NOT TO CUT OUTPUT IN NOV 2014. THIS IS FURTHER INDICATING AN OVER-SUPPLIED MARKET & BLEAK DEMAND.

IN COMING WEEK, WE CAN SEE SOME  RECOVERY IN THE OIL & IT CAN MOVE UPWARD TO 3750 TO 3850-3880 LEVELS BREAKING RESIATANCE OF 3690-3710 LEVELS & WILL FACE MAJOR RESISTANCE AT 3900-3935 LEVELS & THEN CAN COME DOWN TO 3500 TO 3430 LEVELS BREAKING SUPPORTS 3570 & 3500 LEVELS.

IN NYMEX MARKET, CRUDE OIL HAVING SUPPORTS AT 54.71 BARREL & 51.44 BARREL. REISTANCES AT 60.13 & 62.28 BARREL.

MARKET HAS WITNESSED VOLATILE MOVEMENTS IN NATURAL GAS DEC CONTRACT. IN THE COMING WEEK, WE WILL WITNESS A VOLATILE SESSION DUE TO EXPIRY OF NATURAL GAS DEC CONTRACT. NATURAL GAS DEC CAN COME DOWN TO 215 - 212 & 208 LEVELS ON BREACHING SUPPORTS OF 218 & 211 LEVELS. AT 208 LEVELS, NATURAL GAS IS EXPECTED TO GET STRONG SUPPORT & UPWARD MOVEMENT TO 225 & 239 TO 251 LEVELS CAN BE SEEN TECHNICALLY. FUNDAMENTALLY, MORE THAN 48 STATES OF U.S. IS EXPERENCING MILD TO WARMER TEMPERATURE & IT WILL EXPECTED TO BE CONTINUE IN COMING WEEK TOO. Moderate winter temperatures in the past week or so are expected to give way to colder temperatures beginning next week.

IN NYMEX MARKET, NATURAL GAS HAVING SUPPORTS AT 3.19 & 3.00 MMBTU. RESISTANCES ARE AT 3.74 & 4.11 MMBTU.