Nickel futures for February traded lower by Rs 7.50, or 0.75% to Rs 986.80 per kg in 20,246 lots.
At the Multi Commodity Exchange (MCX), the March contract shed Rs 7, or 0.7% to Rs 991.90 per kg in 1,150 lots.
Reduced offtake by speculators affected the prices.
Subdued demand from alloy-makers in the spot market also pulled down the prices.
On the London Metal Exchange (LME), nickel fell 0.1% to $18,690 a tonne.
