Well it's an election year in the US, which will drive global markets and make a nice distraction to Spain etc. That's not to diminish risk but trends dictate some kind of pullback at the end of May to June before an uptrend resumes itself.
As for KZL, zinc prices look likely to move up around June too but should hold current levels around 90c. 5000t has come off the LME in the past week and about half of the build in Shanghai zinc stocks has come off in the past two weeks, so there is demand and we are starting to see it come through. The Chinese definitely need to restock soon.
However, I am changing my KZL position to a hold with a view to selling the broader ASX & DJIA indices. I would wait until mid-June to buy more KZL. I have also been selling the AUD since 1.08 and see no need to change there.
KZL Price at posting:
15.0¢ Sentiment: Hold Disclosure: Held
