Mcx zinc future this week closed at 204.75 with gain. This was first weekly gain for zinc prices after last week’s corrective move. This week zinc future hit high near 205 while low was at near 195. Total 10 rupee range and closed with strong gains.
On weekly chart, zinc future is in strong bullish trend and momentum which is resumed now after last week’s correction. Mcx zinc weekly chart, 5 weeks average at 195 rupee below that 182 is 20 weeks average and next support and 172 rupee is 50 weeks average and last long term support zone. RSI is 68 with buy signal given at 162 rupee levels. while MACD is with strong bullish pattern and suggesting fresh medium term bull run for zinc prices and it had given buy signal around 174 rupee levels.
Mcx zinc future for month of September opened strong above major trend support level of 193 rupee. Above this level zinc will remain buy and accumulate for upside targets of 210 and 220 rupees. Fresh move heading towards given target and we already saw closing near 205 this week.
Zinc daily chart price trend and momentum both are bullish and prices trading below 5 days average of 201 rupee. Below that 195 rupee is 20 days average level and below that 187 rupee is last short term support of 50days average level. Daily chart RSI is at 70 and entering overbought zone with momentum while MACD is at 5 with fresh rally continuation pattern.
From long term view, mcx zinc future was correcting towards major support of 157 rupee and taken support just above it and now prices are moving upside towards investment target of 219 rupees. Now we saw high of 205 in this week.
In last 7 months, zinc prices closed in red for 4 months while 3 months are positive with long term bottom at 157 rupee. And on upside my long term targets are at 219 and then 265 rupees. In month of august lead prices rallied from low of 175 to high above 203 and showing 28 rupee big bull candle on chart. And now September also started with strong opening and almost 5 rupee gains in first day on month.