Timeframe: 4h
The 4-hour chart of Zinc Futures shows a clear downward-sloping channel, which has shaped the overall market trend for some time. Price has respected the upper and lower boundaries of this channel, reacting strongly whenever it moved too far from fair value. Recently, buyers stepped in around 243.40–243.90, creating a new value zone where the market seems more comfortable. This area acted as strong support after a sharp drop, suggesting that buyers are starting to regain control.
After bouncing from this support, the price managed to break above the middle line of the channel, though it faced some resistance and pulled back slightly. This kind of behavior is common in market structure, where breakouts are often followed by a retest before continuing. The tight range seen after the bounce shows signs of sellers getting absorbed, and the shift from lower lows to higher lows is a strong sign that momentum may be turning upward.
If price holds above the 253 to 254 area and breaks through the 259 to 260 zone with strength, we could see a continued move higher. The immediate upside targets are 260 – 265 – 271+, all of which align with previous reaction levels and Fibonacci projections. These levels represent key points where sellers might try to re-enter the market. If buyers maintain control, the rally could extend even further. However, if price slips back below 253, the bullish setup may fail, and a deeper pullback could follow.
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