Zinc yesterday traded with the range bound node and settled flat at 102. Some support had been seen from the LME stock also which came down by -50mt, the total stock at LME is now at 854700mt. Zinc markets registered a surplus during Jan-Mar 2011. The surplus during first three months of the year was 166000 tonnes from the corresponding period previous year. The inventories of Zinc on London exchange have increased by 22% from 701425 tonnes in January to 852350 tonnes in May. In yesterday's trading session zinc has touched the low of 101.9 after opening at 102, and finally settled at 102. For today's session market is looking to take support at 101.9, a break below could see a test of 101.7 and where as resistance is now likely to be seen at 102.2, a move above could see prices testing 102.4.

Trading Ideas:

Zinc trading range is 101.7-102.4.

Russia's zinc output in January-April was 1% less than a year ago.

Zinc looks to take support at 101.20 and resistance at 102.70.

Zinc weekly stocks at Shanghai exchange came up by 2781 tonnes.