Nickel settled flat with 0.03% up at 927.10 and price movement remain volatile as Germany parliamentarians’ request of postponing ESM vote weighed market sentiment. Therefore, nickel prices slipped during the morning session and recovered as German Constitutional Court held an emergency meeting and finally decided to vote ESM on time, which boosted market confidence. In addition, China’s new loans for August were RMB 730.9 billion, better than RMB 600 billion expected by market, further inspired market sentiment. Base metal prices largely closed with gains overnight. Market sentiment is expected to be cautious and longs are expected to exit market after profit-taking before the Germany Constitutional Court’s vote over ESM. It was reported that Germany parliamentarians submitted appeal opposing the ECB’s bond-buying and asked the constitutional court to postpone ESM vote. However, Angela Merkel later said that the government would make vote over ESM on time. Market is looking at a positive outcome from the German constitutional court vote. For today's session market is looking to take support at 922.1, a break below could see a test of 917.1 and where as resistance is now likely to be seen at 932.0, a move above could see prices testing 936.9.

Trading Ideas:

Nickel trading range for the day is 917.17-937.

Nickel settled flat as Germany parliamentarians’ request of postponing ESM vote weighed market sentiment

Nickel prices after slipped recovered as German Constitutional Court held an emergency meeting

Market sentiment is expected to be cautious before the Germany Constitutional Court’s vote over ESM