AHMEDABAD (Commodity Online): MCX Zinc yesterday traded with the negative node and settled -0.53% down at 103.25 tracking LME zinc prices overnight inched down during Asian trading hours. The US dollar index surged on concerns European debt crisis will exacerbate, weighing down LME zinc prices to USD 2,160-2,170/mt. Europe's apparent inability to stop debt contagion from spreading continued to unnerve global markets on Wednesday, keeping investor risk appetite to a minimum as the crisis continued to play out. A credit-ratings downgrade of two of France's largest banks only added to the pessimistic tone.
In yesterday's trading session Zinc future has touched the low of 102.35 after opened at 103.85, and finally settled at 103.25. For today's session Zinc future is looking to take support at 102.4, a break below could see a test of 101.6 and where as resistance is now likely to be seen at 104.7, a move above could see prices testing 106.1.
MCX Zinc Sep contract trading range is 101.6-106.1
Intraday traders can buy MCX Zinc Sep contract near 102.2 with the stop loss of 101 and can wait for the targets of 103.3 and 104.2.
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