And today, lead:...Let’s focus on the chart now. Last month, the price action broke an important first resistance when it jumped above the level of $3,700. This level was a previous low posted in last October (point A on the chart) which became a new high several times during the following months (points B, C and D).
The target for the medium-term current bullish momentum may be now the 38.2% Fibonacci retracement ratio, around $5,000. This is both a psychological level and that’s why this is where the price action posted a low during the broad decline in the first fortnight of October 2008 (point F).
From the current levels, the objective of $5,000 is another 12% move on the upside. From this target a correction is more than likely....MORE
...The long-term bearish trend that really started in October 2007 seems to be over now. After a low posted on last December 19, lead prices have corrected by 61% in three months. They bounced back from $882 per tonne (point A on the chart) to a recent high of $1,425 (posted 2 days ago).
The industrial metals index (GSCI) which includes copper, zinc, aluminium, nickel and lead prices, is typically a good indicator which gives a global trend on those commodities. Technically, this index has cleared the upside of a horizontal trading channel that was valid since last December. It’s a first sign that a further global bullish move may be possible....MORE
