MCX Lead sharp decline breakdown From channel
Adjacent chart shows price movement of MCX Lead continuous contract. Lead witnessed a sharp decline post the breakdown from the channel. Currently, it has found support at the lower end of the bollinger band and has bounced back. In the near term, the swing low of 138.25 will act as crucial support level on the way down. Lead can drift lower towards 135 – 133 once it breaks the low of 138.25. On the way up, 142.25 – 143.60 will act as crucial resistance levels in the near term. Bounce towards resistance levels shall be considered as selling opportunity as long as it does not close above 20DMA which is currently pegged at 145.50. The daily momentum indicator is in bearish mode.