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RTRS: India copper seen opening slightly higher; gold down
 
MUMBAI, Nov 10 (Reuters) - India's copper futures may open slightly higher on Tuesday helped by an improving demand outlook and a weak dollar overseas, analysts said.

The most-traded November contract MCCX9 on the Multi Commodity Exchange of India (MCX) ended 0.4 percent lower at 304.35 rupees per kg in the previous session.

November copper may open at 305 rupees, said Abhishek Chauhan, an analyst with Angel Commodities.

"303 rupees would a crucial support to watch out for, any breach of the support level, prices can see further downside till 297 rupees," said Chauhan.

Boosting market sentiment, Chile's Codelco raised its term premium for copper to the Japanese port of Yokohama to $75 a tonne in 2010, and to $74 for South Korean buyers, anticipating rising demand in parts of Asia. [ID:nT230071]

The U.S. dollar was under renewed selling pressure, while the euro and higher-yielding currencies revisited recent highs as investors piled on to leveraged carry trades. [USD/]

"Market would be boosted by a weak dollar overseas and range expected is 303-308 rupees," said Tejas Seth, a senior research analyst with SMC Global.

November zinc contract MZIX9 closed 1.4 percent lower at 100.30 rupees per kg, while lead for November delivery MLDX9 ended 0.5 percent lower at 104.25 rupees per kg in the previous session.

GOLD:

India's gold futures may open slightly lower weighed by a strong rupee, analysts said.

The benchmark December gold MAUZ9 on the Multi Commodity Exchange (MCX) closed 0.2 percent lower at 16,617 rupees per 10 grams.

December gold is likely to open at 16,600 rupees per 10 grams, said Gnanasekar Thiagarajan, director, Commtrendz Research.

A strong rupee makes the dollar-quoted asset cheaper. [INR/]

"The rally seems to be overdone in gold and it would be in a corrective mode and may find support at 16,525 rupees," said Thiagarajan.

Source