SMM Lead Market Daily Review (2013-2-6)

SHANGHAI, Feb. 7 (SMM) – The 1304 SHFE lead contract price started at RMB 15,500/mt on January 6 with resistance at the 5-day moving average. In the afternoon, as LME lead prices fell and as some investors booked profits and left the market, SHFE lead prices moved down to RMB 15,410/mt to finally end at RMB 15,400/mt with strong support at the 20-day moving average. Trading volumes fell 162 lots to 56 lots, while positions were up 10 lots to 2,442 lots.

Spot lead prices remained little changed with transactions scarce. Chihong Zn & Ge was still quoted at RMB 14,950/mt, with spot discounts over the most active SHFE lead contract price at RMB 500/mt. Quotations for Hanjiang remained around RMB 14,920/mt and those for Shenqian were at RMB 14,860/mt