Bulls take profit and exit; the most-traded SHFE lead 2612 contract shot up, met resistance, and pulled back [Lead Brief Review]

SMM, October 28:

Intraday, the SHFE lead 2612 contract opened at 16,390 yuan/mt, briefly shot up after the open, then consolidated lower, dipping to an intraday low of 16,210 yuan/mt. It rebounded slightly in the afternoon, moved sideways in the 16,250-16,300 yuan/mt range, and finally settled at 16,275 yuan/mt, up 15 yuan/mt, or 0.09%, from the previous trading day's closing price. Trading volume was 101,618 lots, open interest was 81,224 lots, a decrease of 2,308 lots. The daily candlestick was a small bullish candlestick with a long upper shadow. Overall, the SHFE lead 2612 contract retreated after a rapid rise with increased volume but stalled momentum, and resistance above emerged. However, the price still closed above the middle Bollinger Band, and with inventory continuing to destock, support below remains. The SHFE lead 2612 contract is expected to shift into consolidation and correction in the short term.