RE:RE:BIG move...???...kramaswamy wrote: The problem is, we have had similar rallies in the past that have fizzled. In March 2015, zinc rallied for two months, rising 20 cents from 90 cents to 110, before starting a rapid descent. Again, in October 2015, we had a brief rally, with zinc rising from 75 cents to 85 cents.
The current rally looks nice, but the question will be, is it going to be sustained? Inventory levels rose again today, which is a big concern.
TV also is scheduled to release an update this week, which many are anticipating to not be very flattering.
Personally, I sold a small percent of my total holdings (about 8%) at 41 cents. I'm gonna range trade that, buying in the 35 cent range and selling in the 40 cent range.
I have the same concerns. I wonder how much of the current rally is part of a short squeeze on those that are short on Zinc and will go away at month-end. There have been a reduction on production with some mines shutting down + Glencore but until we see a real decline (vs just a paper decline) on the amount of Zinc in storage we might not see a real rally on Zinc and/or TV. GLTA