Zinc prices have surged over 5 per cent in the last one week. The Zinc futures contract traded on the Multi Commodity Exchange (MCX) has risen sharply from around ₹348 per kg to ₹369 now. This rise keeps the broader uptrend intact. It also indicates that the upmove has gained momentum.

Outlook

The trend is up and strong. Immediate support is around ₹360. A crucial resistance is coming up at ₹374. The contract can test this resistance in the coming days. The price action thereafter will need a close watch.

If the contract retains the current momentum and breaks above ₹374, further rise is possible. In that case, an extended rise to ₹385-₹387 can be seen.

But, if the contract fails to breach ₹374 and reverses lower, then it can come under pressure. Such a reversal will indicate that an intermediate top is in place. In that case, a corrective fall to ₹355-₹350 is a possibility in the short term.

As such the price action around ₹374 will need a very close watch this week.

Trade strategy

Considering the resistance at ₹374, we suggest traders not to take any fresh long positions at the moment.

High risk appetite traders can go short once the contract turns down from around ₹374. Go short at ₹371 (after the price turns down from ₹374). Keep the stop-loss at ₹376. Trail the stop-loss down to ₹369 as soon as the contract falls to ₹366. Revise the stop-loss lower to ₹365 and ₹362 when the price touches ₹363 and ₹360 respectively. Exit the shorts at ₹358.

Published on May 14, 2026