Zinc yesterday traded with the negative node and settled -1.07% down at 112.60 as pressure seen after the Eurozone comprehensive PMI for September fell from the 46.3 in August, to 45.9. The number of US jobless claims last week decreased compared to the previous week, but was more modestly than expected, showing the job market was still sluggish. The euro zone also announced in the evening that the downturn in activity in the region's service sector slipped at the fastest speed since July 2009, and growth in the US manufacturing industry also hit the lowest in three years. Besides, the initial US jobless claims were 382,000 last week, flat with the previous data and softer than market expectations, causing US equity markets to continue fluctuating feebly. However, the auction on Spanish government bonds was successful and the country's 10-year bond yields dropped, which reassured investors somehow. In yesterday's trading session zinc has touched the low of 111.95 after opening at 113.2, and finally settled at 112.6. For today's session market is looking to take support at 111.8, a break below could see a test of 111 and where as resistance is now likely to be seen at 113.5, a move above could see prices testing 114.4.

Trading Ideas:

Zinc trading range for the day is 111.03-114.43.

Zinc dropped as pressure after Eurozone comprehensive PMI for September fell from the 46.3 in August, to 45.9

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