Basemetals intraday

§ US Feb existing home sales up 2.9 pct to 5.03 mln rate vs 4.85 mln expected and Sales of previously owned homes in the US rose in February after six straight months of declines, due in part to the largest ever year-over-year decline in home prices, the National Association of Realtors (NAR) said yesterday



*

Copper led declines on the Shanghai Futures Exchange on speculation a rally in the dollar and
rebounding equities will curb demand for alternative investments



*

Peruvian Copper Output Will Double by 2013, Peru is on track to produce 2.4 million tons of copper annually by 2013, from the current production rate of 1.2 million tons, the Lima-based daily said, citing Energy & Mines Minister Juan Valdivia.



*

Chile's gross domestic product expanded 4 percent in the fourth quarter of 2007, less than the
4.21 percent median estimate of 12 analysts surveyed by Bloomberg and GDP expanded 5.1 percent in 2007



*

Chile's National Mining Co. is accumulating stockpiles of unfinished copper that it is unable
to process at its smelters, Santiago newspaper La Tercera said. The company also may sell some material to bigger state-owned copper company Codelco for processing, the newspaper said
*


China – Feb month: Copper imports fall by 8.3% yr/yr, Nickel imports rise 7.79%to 13,042tones, Aluminium exports fall by 19% to 39,378 tones and Zinc imports fall by 23%.



*

Zinc prices also declined sharply in a broad-based metals sell-off as a monthly report by the International Lead and Zinc Study Group (ILZSG) showed a 26,600 tonne surplus in zinc for January 2008. Refined output for zinc in January 2008 stands at 1,004,900 tonnes while consumption was at 978,300 tonnes. The surplus in January 2008 was a decrease from the surplus of 43,800 tonnes seen in December 2007 but higher when compared to the 26,000 tonnes seen in January 2007.



*

National Aluminium Co., India's biggest aluminium maker, said it plans to shut one of its three production lines for maintenance work that may last a month. National Aluminium produces 1.58 million metric tons of the aluminium-making material annually



MCX Copper April (Daily Chart)



Technical Outlook:

Momentum studies are bearish but are now at oversold levels and will tend to support reversal action if it occurs. The daily stochastics have crossed over down which is a bearish indication. The stochastics indicators are decreasing from overbought level, which is bearish and should support lower prices. The market's short-term trend is negative as the close remains below the 9-day EMA. The upside closing price reversal on the daily chart is somewhat positive.

Recommendations - MCX Copper April: Sell at 325 Target 319 and 315 Stop loss 328.50



MCX Zinc March (Daily Chart)

Technical Outlook:

Momentum studies are bearish but are now at oversold levels and will tend to support reversal action if it occurs. The daily stochastics have crossed over down which is a bearish indication. The stochastics indicators are decreasing from overbought level, which is bearish and should support lower prices. The market's short-term trend is negative as the close remains below the 9-day EMA. The upside closing price reversal on the daily chart is somewhat positive.

Recommendations -MCX Zinc March: Sell at 94.50 Target 91 and 89 Stop loss at 96



MCX Nickel March (Daily Chart)


Technical Outlook:

Momentum studies are bearish but are now at oversold levels and will tend to support reversal action if it occurs. The daily stochastics have crossed over down which is a bearish indication. The stochastics indicators are decreasing from overbought level, which is bearish and should support lower prices. The market's short-term trend is negative as the close remains below the 9-day EMA. The upside closing price reversal on the daily chart is somewhat positive.

Recommendations: MCX Nickel March: Sell at 1165 Target 1148 and 1130 Stop loss at 1180

MCX Lead Feb (Daily Chart)


Technical Outlook:

Momentum studies are bearish but are now at oversold levels and will tend to support reversal action if it occurs. The daily stochastics have crossed over down which is a bearish indication. The stochastics indicators are decreasing from overbought level, which is bearish and should support lower prices. The market's short-term trend is negative as the close remains below the 9-day EMA. The upside closing price reversal on the daily chart is somewhat positive.

Recommendations: MCX Lead March: Sell at 112.50 Target 100.30 and 99.10 Stop loss 113.70

MCXARUN
9994500540