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Daily Newsletter Newsletter-Commodity 19/05/2011

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MARKET WRAP Gold rose and silver surged 4 percent on Wednesday Copper rallies to 2-week high LME stocks of aluminium rose 1,325 tonnes Oil up on surprise storage data

Gold rose and silver surged 4 percent on Wednesday, as rallying crude oil and grain prices and lingering worries about a European debt crisis lifted precious metals in a commodity rally. Copper rallied to a two-week high on Wednesday, as investors returned to commodity markets, but doubts about short-term fundamentals are expected to cap prices. A stronger dollar can hit dollar-denominated oil prices by raising the price for consumers using other currencies.

ECONOMIC CALENDAR Date

Time

Currency

Economic Data

Forecast Previous

Thu May 19

6:00pm

USD

Unemployment Claims

421K

434K

7:30pm

USD

Existing Home Sales

5.21M

5.10M

7:30pm

USD

Philly Fed Manufacturing Index

20.2

18.5

7:30pm

USD

Mortgage Delinquencies

7:30pm

USD

CB Leading Index m/m

0.2%

0.4%

8:00pm

USD

Natural Gas Storage

91B

70B

9:30pm

USD

FOMC Member Dudley Speaks

11:00pm

USD

FOMC Member Evans Speaks

8.22%

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TECHNICAL VIEW GOLD(JUNE) Trend Strategy

• Consolidate • Buy on dips

SILVER(JULY JULY) Trend Strategy

• Consolidate • Buy on dips

Resistance

• R2 -22250 • R1 -22090

Resistance

• R2 - 56500 • R1 - 54850

support

• S1 -21720 • S2 -21450

support

• S1 - 52750 • S2 - 51300

COPPER(JUNE) Trend Strategy

• Consolidate • Buy on dips

CRUDE(MAY MAY) Trend Strategy

• Consolidate • Buy on dips

Resistance

• R2 - 424 • R1 - 416

Resistance

• R2 - 4670 • R1 - 4585

support

• S1 - 403 • S2 - 395

support

• S1 - 4470 • S2 - 4390

NATURALGAS(MAY)) Trend Strategy

• Consolidate • Sell on high

LEAD(MAY MAY) Trend Strategy

• Consolidate • Buy on dips

Resistance

•R2 - 203 •R1 - 195

Resistance

• R2 - 115.8 • R1 - 112.5

support

•S1 - 187 •S2 - 179

support

• S1 - 108.3 •S2 - 105.5

ZINC(MAY) Trend Strategy

• Consolidate • Sell on high

NICKEL(MAY MAY) Trend Strategy

• Consolidate • Sell on high

Resistance

•R2 - 102.5 •R1 - 99.3

Resistance

•R2 - 1164 •R1 - 1125

support

•S1 - 96.8 •S2 - 93.5

support

•S1 - 1083 •S2 - 1048

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ALUMINIUM(MAY) Trend Strategy

• Consolidate • Sell on high

Resistance

•R2 - 117.5 •R1 - 115.8

support

•S1 - 112.3 •S2 - 109.5

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