Zinc prices rose to a nine-month high and settled at 235.60. Aluminium reached its highest since February 2023 at $2,470 and was last up 0.2% at $2,455.
Base metals prices continued its rally in first day of the new week. Where, Copper prices in London hit their highest in more than 14 months on Monday, helped by demand from momentum-following funds, strong German industrial data and a rally in other commodities.
Industrial metals also rallied in Shanghai. Copper, which is used widely in the power and construction industries, hit record highs as it caught up with last week’s London gains after China’s Thursday-Friday trading break.
Adding to this, Germany’s February industrial production rose by 2.1% from the previous month thanks to a strong performance from the construction industry. Analysts polled by Reuters had expected a 0.3% rise.
Zinc prices sparked, amid hopes for cuts to interest rates in the United States and Europe as well as elevated sentiment towards other commodities.
Technical Outlook – Zinc:
Zinc prices witnessed 1.29% an intraday gain yesterday. Prices rose to a highest level in a nine month and settled at 235.60 compared to previous day’s close of 232.60.
On the above chart, formation of a long bullish candle stick is indicating for a bullish momentum could be continued. Prices would need to break above next resistance 236.50 in order to test 240-242.00.
Else, any dip towards 232.20-230 could attract fresh buying activities.
On the downside, crucial support is seen at 229.50 below it 225.00
Happy Trading!
Commodity Samachar
Learn and Trade With Ease
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