Nickel yesterday traded with the negative node and settled -1.81% down at 901 as pressure seen after China's imports dropped sharply and the slow progress of euro zone finance minister meeting. The meeting of euro zone finance ministers stated they planned to reach an agreement with Spain on July 20th that they will supply EUR 30 billion of bailout funds and the deadline of Spain to cut government deficit will be postponed to 2014. The market concerned measures resulted from the euro zone finance minister meeting will take effect slowly, weighing down base metals prices. Euro zone finance ministers announced July 10 the plan to conclude a final deal with Spain on July 20 for providing the first batch EUR 30 billion bailout funds for the country, and the decision to put off the deadline for cutting Spain's deficit by one year to 2014. Market believes the meeting has been progressing slowly to raise any substantial measures for resolving the European debt crisis. Thus, uncertainties caused concerns and prevented base metals from picking up. In yesterday's trading session nickel has touched the low of 899.2 after opening at 917, and finally settled at 901. For today's session market is looking to take support at 894.4, a break below could see a test of 887.9 and where as resistance is now likely to be seen at 912.2, a move above could see prices testing 923.5.

Trading Ideas:

Nickel trading range for the day is 887.93-924.

Nickel dropped as China's annual rate of imports rose by 6.3% in June, worse than expected

Market concerned measures resulted from the euro zone finance minister meeting will take effect slowly

Metals fell as China's imports dropped sharply and the slow progress of euro zone finance minister meeting.