Besides, rebound in base metals in the global markets supported the upside.
At the Multi Commodity Exchange, nickel for delivery in July gained Rs 10.50, or 1.42 per cent, to Rs 755.60 per kg in a business turnover of 20,925 lots.
The metal for delivery in August was trading higher by Rs 10.40, or 1.38 per cent, to Rs 763 per kg in 1,066 lots.
Analysts said apart from increased domestic demand from alloy-makers, firming trend overseas after purchases by China surged to the most since July 2009 in a sign the world's largest consumer is drawing on global supply to meet demand, influenced nickel prices at futures trade here.