MCX

MCX

Commodity reported that MCX Aluminum could very well see a bullish run in the near future even when record high inventories are being reported.

There are some reasons why Aluminium prices could gain is due to bank financing deals that have locked up a sizeable chunk of available metal stock and continuous decreasing inventory at London Metal Exchange.

Meanwhile, Aluminium consumers and physical traders incapable to access these stocks have to pay higher premiums to secure their needs from a smaller pool of available metal.

MCX Aluminium August delivery contract opened edge higher at 116 compared to previous closing of INR 115.55 per Kilogram. Aluminium August delivery rose by 1.20% to INR 117.20 per Kilogram.

MCX Aluminium prices expected to remain in green region condition to price close above INR 117 per kilogram on daily basis. Immediately, Aluminium future expected to take support at INR 114 and strong resistance looks at 118 rupees per kilogram informed Amrita Mashar.