MCX lead weekly report 5-9 May 2014
lead daily chart technical analysis
MCX lead future on last trading session closed at 126 with gain. Daily chart price trend and momentum both are down for lead future. Prices are trading below short term averages with mixed indicators patterns. 125 and 122 rupee are strong support zones for next week while on upside 127 and 128 rupees are strong resistances. 127 is 1-month average and 128 is 3-month average level for lead. Daily chart indicators are mixed.
Traders below 128 keep short view on lead future and expect targets of 125 and then 122 in next week.
lead weekly chart technical analysis
MCX lead future this week tumbled by 3%. This week lead hit high at 129.75 while low was at 124.9. Total 5-rupee range or 4% weekly swing and closed with loss. Lead had faced strong supply from market around its 6 and 12-month averages and heading towards 2 years average to test it. With this move, indicators are also turned bearish.
On downside, 122 and 118.5 are strong support zones for lead out of which 112 are 2 years average level. On upside 128 and 129 are strong resistances. 128 is 12-month average and 129 is 6-month average level.
Investors must watch 122 level if breaks then go short for targets 118 to 115 and lead may enter into downcycle in that scenario.