Short MCX lead futures by admin- Friday, August 12th, 2022 05:54:00 AM
The continuous futures of lead on the Multi Commodity Exchange (MCX), which bounced off the guide at ₹166 nearly a month in the past, has been rallying due to the fact then. While there has been a pause at round 180, the contract controlled to comprehend to the current level of 182. Early this week it made a excessive of 185.Sixty five.
Note that 184 is a resistance. A falling trendline coincides at this level, making the resistance stronger. Therefore, we assume the agreement to make a U-flip and decline from the current degree. It can fall underneath 180 and touch a hundred seventy five in the close to time period. A breach of this degree can potentially drag the agreement to 157.
Last week, we had recommended starting up shorts positions at round one hundred seventy five and recommended shorting greater at 184. Those who executed those trades might now have shorts with average entry rate at round 180 with a forestall-loss at 192.
Fresh brief positions can also be initiated on the cutting-edge degree with forestall-loss at 192.
When the settlement moves in step with our expectation and falls beneath ₹166, alter the forestall-loss to ₹182. Exit all your shorts at ₹157 because that is a key assist towards which the contract may witness a rebound.
But it’s miles critical to word that if the settlement rallies above ₹184, it can flip the trend bullish. A pass above ₹184 could also imply that the falling trendline resistance might were nullified, making the case stronger for the bulls. Above ₹184, the resistances are at ₹195 and ₹200.