MCX Zinc has fallen sharply in the last few weeks. From
the high of 136.90 it has reached the medium-term rising
trendline. The base metal seems to be finding support
near the trendline. In terms of the price patterns, the
commodity seems to have formed an expanding ending
pattern, which would be a bullish pattern in this particular case. The short-term momentum indicator has given a
buy signal, suggesting that a bounce is on the cards. Unless
the recent low of 114.6 breaks on a closing basis, zinc
can bounce till 120 and 123, ie the 20-daily moving average
and the 38.2% retracement mark respectively.
Tags
Zinc