SMM November 28:
The most-traded SHFE zinc 2601 contract opened at 22,335 yuan/mt. After opening, bulls increased their positions, pushing SHFE zinc slightly higher to touch a high of 22,430 yuan/mt. Towards the end of the session, bears reduced their positions, and SHFE zinc fluctuated rangebound around 22,400 yuan/mt, finally closing up at 22,425 yuan/mt, up 10 yuan/mt, or 0.04%. Trading volume decreased to 94,156 lots, and open interest fell by 207 lots to 102,000 lots. SHFE zinc recorded a bullish candlestick, with the 20-day daily average line exerting pressure above and the lower Bollinger Band providing support below. Recently, TCs have continued to decline, and domestic social inventory has been continuously falling, providing support for the bottom of SHFE zinc. However, constrained by mediocre consumption, SHFE zinc maintains a fluctuating trend.
