*Base Metal Overnight Update*

Advisory Bazaar Info Services

Copper:

Overnight, LME copper opened at $12,724.5/mt and moved higher in early trade, touching a high of $12,829.5/mt. Later, prices declined to a low of $12,721/mt before recovering slightly and finally closing at $12,780/mt, down 1.07%. Trading volume stood at 17,000 lots, while open interest was 293,000 lots, down by 8,255 lots from the previous trading day, mainly due to long liquidation.

The most-traded SHFE copper 2604 contract opened at 99,120 yuan/mt. It rose to 99,530 yuan/mt in early trade and then declined to a low of 98,900 yuan/mt. Prices later recovered slightly and closed at 99,140 yuan/mt, down 0.92%. Trading volume was 27,700 lots, with open interest at 177,000 lots, down 1,993 lots from the previous session, also due to long liquidation.

Aluminium:

During the night session on March 17, the SHFE aluminium 2605 contract opened at 25,060 yuan/mt, touched a high of 25,110 yuan/mt and a low of 24,745 yuan/mt, and finally closed at 24,915 yuan/mt, down 75 yuan/mt or 0.30%.

Technical indicators show medium-term moving averages still in a bullish alignment. However, the 5-day moving average falling below the 10-day moving average indicates weakening short-term bullish momentum. On the 4-hour chart, the MACD shows a death cross, suggesting fading bullish momentum and possible short-term correction pressure.

Night-session open interest stood at around 311,000 lots, up 209 lots, indicating fresh short positions.

LME aluminium opened at $3,394.5/mt, hit a high of $3,430/mt and a low of $3,359/mt, and closed at $3,364.5/mt, down 0.81%. Trading volume was 27,670 lots, while open interest increased by 1,790 lots to 684,000 lots.

Lead:

Overnight, LME lead opened at $1,922.5/mt and initially declined to $1,913/mt. During the Asian session, prices recovered to $1,932/mt before coming under pressure again. In the European session, LME lead fell sharply but later rebounded, fluctuating in the $1,921–1,931/mt range before closing at $1,926/mt, up $1/mt or 0.05%.

The most-traded SHFE lead 2604 contract opened at 16,635 yuan/mt and rose to 16,685 yuan/mt before easing to a low of 16,595 yuan/mt. Prices remained largely range-bound during the night session and finally closed at 16,670 yuan/mt, up 70 yuan/mt or 0.42%.

Zinc:

Overnight, LME zinc opened at $3,277/mt and briefly rose to $3,293/mt. However, with profit-taking by bulls, prices declined to a low of $3,210/mt before slightly recovering to close at $3,233/mt, down $46/mt or 1.40%. Trading volume rose to 13,404 lots, while open interest declined by 3,868 lots to 214,000 lots.

The most-traded SHFE zinc 2605 contract opened at 23,680 yuan/mt and briefly rose to 23,685 yuan/mt. Later, bears added positions and prices moved lower to a low of 23,440 yuan/mt before closing at 23,455 yuan/mt, down 275 yuan/mt or 1.16%. Trading volume fell to 39,416 lots, while open interest increased by 10,738 lots to 91,209 lots.

Tin:

The most-traded SHFE tin contract moved lower after opening during the night session and closed at 370,920 yuan/mt, down 2.34%.