Zinc material, raw
| Photo Credit:
bagi1998
Zinc futures, after witnessing a strong rally between May and mid-December last year, has consolidated in recent weeks. Currently, it is hovering around ₹310 (per kg).
The contract has been facing resistance at ₹320. Three attempts at a breakout have been made since December with no success.
On the other hand, zinc futures has not fallen and, in fact, has been making higher lows over the past month. Thus, the price action resembles a triangle pattern.
A breakout of ₹320 can confirm this pattern and this would mean a fresh leg of uptrend. Such a move can lift zinc futures to ₹340, a potential resistance. A subsequent barrier is at ₹370.
But if zinc futures declines and breaches a trendline support at ₹307, where the 50-day moving average also coincides, the near-term trend can turn bearish. The price might fall to ₹290 or even to ₹278, notable support levels.
As it stands, given the current consolidation and a strong uptrend preceding it, there is a chance for a corrective decline. But for that to happen, the price ought to slip below ₹307. Until then, traders can stay out.
Trade strategy
Stay out for now. Short zinc futures if it breaks below the support at ₹307. Target and stop-loss can be ₹290 and ₹315, respectively.
Published on January 22, 2026
