Zinc futures eye more gains

For about two weeks now, zinc futures (currently trading at ₹324/kg) have been in a sideways crawl. That is, since the beginning of this month, they have been oscillating between ₹318 and ₹332.

On Wednesday (February 18), the contract gained nearly 2 per cent after rebounding from the lower boundary of the range i.e., ₹318. A trendline coincides with this base, making it a strong support.

Going ahead, there is a chance for zinc futures to rally past the upper boundary of the range at ₹332 and attempt to move towards ₹340 and ₹350. So, from the current level, going long can be a potential trade opportunity, for which the risk-reward ratio too is favourable.

On the other hand, if the bears gather more strength and lead to a breach of the support at ₹318, the near-term outlook will turn bearish. Notable support below ₹318 is at ₹300, although ₹312 is a minor one.

Overall, given the prevailing price action, the probability of a rally appears higher.

Trade strategy

Buy zinc futures at ₹322 and place a stop-loss at ₹314. When the contract reaches ₹332, trail the stop-loss to ₹322. Book profits at ₹340.

Published on February 19, 2026