RE:This stock is basically an option at this point. For Zinc to rally back above 1.05............several things need to happen.
1. Zinc needs to stay down for where it is for a quarter (forcing some miners to reduce or shutdown) it already seems to have curtailed some chinese miners....hard to say how much.
2. Concentrate needs to dry up a bit ....to change the surplus narrative.
3. Demand needs to increase or at least stay steady
4. Chinese need to stimulate.
5. Virus needs to hold steady in China to let them get back to work fully.
Chinese smelters have been smelting like lunatics for the past 8 weeks, they were held up slightly by ACID by product issues and finished zinc demand and storage issues, transport logistics etc.
Let up hope like hell that they have been held up more than expected and the demand is actually stronger than expected.
We will know in the next 4 weeks....