Breaking News
0

Zinc Under Long Liquidation

By CommodityOnline (Commodity Online)CommoditiesDec 07, 2018 14:36
in.investing.com/analysis/zinc-under-long-liquidation-200206519
Zinc Under Long Liquidation
By CommodityOnline (Commodity Online)   |  Dec 07, 2018 14:36
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

Technically Zinc market is under long liquidation as market has witnessed drop in open interest by 19.07% to settled at 2711 while prices down 1.55 rupees.

Now MCX Zinc is getting support at 185.5 and below same could see a test of 183.6 level, And resistance is now likely to be seen at 188.7, a move above could see prices testing 190.

Zinc on MCX settled down 0.82% at 187.15 on long liquidation while prices recovered some earlier losses tracking bounce from LME Zinc which closed at $2,610/mt as support seen from low inventories sustains, weakening consumption by year-end could limit upside room for zinc prices.

Last night most base metals ended in negative territory whereby LME nickel slumped over 3%, aluminium dropped 1.6%, copper slid some 1% and zinc lost 0.4% while lead gained 0.4%.

The US dollar weakened against major peers on Thursday as US Treasury yields tumbled and traders scaled back expectations on the number of rate hikes the Federal Reserve would implement amid weakening economic data and heightened market volatility.

The dollar has been under pressure this week as an inversion in part of the US yield curve raised a red flag for a potential recession. While Fed policymakers are still widely expected to raise interest rates again at their December 18-19 meeting, but the market focus is on how many rate hikes will follow in 2019.

Separately, data showed private employers hired fewer workers than expected in November, pointing to a moderation in the pace of job growth.

Now a day ahead Economic data slated for release today include China’s November foreign exchange reserves, the eurozone’s third-quarter GDP growth and US November nonfarm payrolls report, the University of Michigan’s December consumer confidence index and October wholesale inventories.

Trading Ideas:
--Zinc trading range for the day is 183.6-190.
--Zinc dropped as worries over weak demand caused by Sino-U.S. trade tensions persisted.
--China's factory activity grew slightly in November, though new export orders extended their decline in a further blow to the sector already hurt by the Sino-U.S. trade frictions.
--The premium for cash LME zinc over the three-month price soared to $113 a tonne, the highest since 1997.

Zinc Under Long Liquidation
 

Related Articles

Zinc Under Long Liquidation

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email