MCX Nickel has been trading in a medium-term falling channel. In its recent move, it has fallen from the upper channel line towards the lower line, though it couldn’t touch the line exactly. Since the last few sessions, it has entered a pullback mode. The daily momentum indicator that has been showing a positive divergence has given a buy signal. Thus, unless the swing low of 817.60 breaks, the base metal is expected to bounce till the 38.2% and 50% retracement marks, ie 860 and 875 respectively.