Nickel on MCX settled up 0.74% at 693.10 traded in the range after its biggest fall after lastweek's Indonesia's abrupt easing of a three-year ban on nickel ore exports. Yesterday prices traded in the range ahead of Trump's inauguration on Friday his comments revived fears that he would pursue protectionist policies which could harm economic growth. While LME nickel price traded as low as $9,660 per tonne on January 12, its lowest since September 2016, after Indonesia announced that it will lift restrictions on the export of unprocessed ore under certain conditions. Nickel has since managed to rebound above $10,000; it was recently at $10,215 per tonne on Wednesday January 18, up $55 from the previous day’s close. Prices are holding up due to several factors – one is that nickel ore supply is expected to remain tight in China during the first quarter of this year. Inventories are low at Chinese ports while ore shipments from the Philippines are typically slow in the first quarter due to heavy rains in the parts of the country, market participants said. Nickel ore inventories at Chinese ports are an estimated 12.87-13.77mt, compared with about 20mt at the end of 2014. Indonesian mines may export up to 5.2mt of nickel ore a year under the country's new rules, the mining minister said, only a fraction of its shipments when it was once a top global supplier of the stainless steel material. Technically market is under short covering and getting support at 688.4 and below same could see a test of 683.8 level, And resistance is now likely to be seen at 697.8, a move above could see prices testing 702.6.

Trading Ideas:

Nickel trading range for the day is 683.8-702.6.

Nickel prices traded in the range ahead of Trump's inauguration on Friday which could harm economic growth.

Nickel prices got some support as update seen by INSG that Nickel in 63,600 T deficit Jan-Nov

Last week’s Indonesian government decision sent nickel prices tumbling more than 5% as the resumption of nickel ore exports from Indonesia