Commodity outlook: How will bullion, oil, agri-commodities trade today

NEW DELHI: Domestic markets were trading on a cautious note in Friday's morning session, shrugging off positive developments on the US-China trade front and an uptick in industrial output data at home.

In the commodity mart, crude oil prices are likely to stay weak, while gold may trade sideways. Here is a look at the projections on various commodities by SMC Global Securities.

Bullion: Gold prices were little changed on Friday and remained on track for a third weekly decline as optimism over the US-China trade talk fanned risk sentiment.

Bullion counter may trade with a sideways bias. Gold (Oct) can dip lower towards Rs 37,500 with the resistance seen near Rs 37,800, while silver (Dec) can dip towards Rs 46,800 but faces resistance near Rs 47,400.

Base Metals: Base metals may trade with an upside. Copper may test Rs 455 while taking support near Rs 450. Zinc can increase towards Rs 190 while taking support near Rs 185. Lead may trade with a sideways bias as it can test Rs 157 while taking support near Rs 152. Nickel may move upwards to Rs 1,270 with support for the commodity seen near Rs 1,230. Aluminum may test Rs 138 although it may face resistance near Rs 142.

Energy: Oil futures fell on Friday as optimism over an end to the US-China trade war faded, leaving prices set for a weekly loss after days of wild gyrations.

Crude oil may sustain a weak bias. Crude oil may test Rs 3,870 while taking resistance near Rs 4,040. Natural gas can recover towards Rs 188 while taking support near Rs 180.

Spices: Turmeric futures (Oct) may witness sell on rise, facing resistance near Rs 6,670 & would probably break the support near Rs 6,500. Jeera futures (Oct) are expected to
trade sideways & test Rs 16,750. Dhaniya futures (Oct) will probably take support near Rs 6,000 & remain steady. Cardamom futures (Oct) may trade with an upside bias taking support near Rs 2,800.

Oilseeds: Soybean futures (Oct) may trade higher & test Rs 3,750-3,780. Soy oil futures (Oct) are expected to trade higher towards Rs 760-762, tracking higher price of edible oil in the overseas market. CPO futures (Sept) may consolidate in the range of Rs 552-558.

Other Commodities: Cotton futures (Oct) are expected to trade higher & test Rs 19,860-19,900 on the higher side, taking support near Rs 19,600. Chana futures (Oct) will probably face resistance near Rs 4,100 & witness selling pressure with every short covering. The outlook of castor seed futures (Oct) are expected to hold on to the support near Rs 5,775 on the back of a smaller crop from last year and the fact that the arrival of the new crop is at least six months away.