Zinc yesterday traded with the positive node and settled 1.84% up at 107.7 gains with the prospect of additional U.S. stimulus measures supporting sentiment still the Shanghai Futures Exchange is closed this week for the Lunar New Year holiday.
Federal Reserve Chairman Ben Bernanke said earlier this week the U.S. central bank was ready to offer the economy additional stimulus after it announced it would likely keep interest rates near zero until at least late 2014.
The euro held onto most recent hefty gains against the dollar on Friday, after hitting a five-week high, as the Fed's pledge to keep rates near zero for the next three years encouraged carry trades funded in dollars.
A broad asset rally inspired by the U.S. Federal Reserve's pledge to keep rates low paused on Friday, as investors sought to gauge how sustainable the burst of optimism will be while waiting for the outcome of crucial Greek debt talks.
A month-long rally on Wall Street appears to be sputtering as stocks slipped on Thursday in what investors called a possible warning of weakness ahead.
Greece and its private creditors will continue talks on debt restructuring on Friday with the aim of sealing an agreement within a few days after making progress on Thursday.
For today's session market is looking to take support at 105.8, a break below could see a test of 103.8 and where as resistance is now likely to be seen at 108.8, a move above could see prices testing 109.9.
Trading Ideas:
Zinc trading range is 103.8-109.9.
Zinc settled with a positive node with the prospect of additional U.S. stimulus measures supporting sentiment
A broad asset rally inspired by the U.S. Federal Reserve's pledge to keep rates low paused on Friday
Fed Chairman Ben Bernanke said earlier this week U.S. central bank was ready to offer the economy additional stimulus
Courtesy: Kedia Commodities
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