Lead futures, since early May, has been gradually appreciating. Last week, it closed at ₹181.45/kg. But then it has now moderated to ₹180.50.
That said, the overall uptrend remains valid and although the current drop in price may extend, it is likely to be arrested at ₹180.
From the current level, lead futures has a notable trendline support at ₹180. The 21-day moving average coincides at this, making it a good support.
A rebound on the back of this base can lift lead futures to ₹184. A breakout of this can turn the medium-term trend bullish. In which case the contract can advance further to ₹187 and ₹190.
On the other hand, if lead futures falls from the current level and breaches the support at ₹180, it can extend the decline to ₹178 and ₹176, notable support levels.
Nevertheless, as it stands the trend is bullish and the price corrections can be seen as opportunities to initiate fresh long positions.
Buy lead futures (July) at ₹180.50 and place a stop-loss at ₹179. When the contract rises to ₹182, trail the stop-loss to ₹180. Tighten the stop-loss further to ₹181 when the price hits ₹183. Book profits at ₹184.
Published on July 8, 2025
