Aluminum Hold A Bullish Outlook, Buying Recommended
CommodityOnline | Apr 22, 2014 06:36AM ET
The week began with a marginal bearish tone for the metal which is trading at $1864 down by $11 from its previous week’s close. We believe this may have been a temporary loss while the underlying view still holds bullish. We had a holiday for the metals on Monday in LME due to Easter Monday. For the day we hold a bullish outlook on the metal while we believe after a long period holiday there may be good amount of change in the commodity stocks at the LME. So any strong change in inventory would drive the metal to move higher or lower. As said, we wish to buy the metal from lower levels. In the last week the total global stocks declined to 5.316 million tons. At the domestic front Indian rupee is trading weak by 20 paisa and trading at 60.80 indicating that the commodity may move higher in the local market. Hence, we recommend buying the metal for the day.
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