Zinc yesterday traded with the positive node and settled 0.31% up at 112.75 with the fall in US dollar index overnight from 78.7 to 78.2. In this context, LME zinc prices overnight rose by USD 15/mt and finally closed at USD 2,490/mt. Zinc prices are expected to continue to rise today also as US Core Producer Price for January rose 0.5% from the previous month, and up 1.6% YoY, the highest level in the past two years, accelerating speculations of additional tightening monetary policies. In yesterday's trading session zinc has touched the low of 111.45 after opening at 112.3, and finally settled at 112.75. For today's session market is looking to take support at 111.4, a break below could see a test of 110.1 and where as resistance is now likely to be seen at 114.2, a move above could see prices testing 115.6.

Trading Ideas:

Zinc trading range is 110.1-115.6.

Zinc ended firm recovering its losses on short covering

Zinc looks to take resistance at 113.90 and support is at 111.60 level.

Zinc daily stocks at Shanghai exchange came up by 2174 tonnes.

YESTERDAY LME STOCK FOR ZINC CAME DOWN  BY -100