Made a killing in the last 6 weeks...
Also noticed a that available for sale is slowing up.
It was 86,600 on 25.10.06, was 86,255 on the 29.10.06 and today is 86,575...so in almost a week it has increased....that is tell tale sign the high price is having an effect...however about 1/3 of today's gross drawdown MAY come off available, which at -1325 is also slowing...so -400 could come of available...so it may really be 86,175....nevertheless...still getting slower and this is really what zinc purchasers and LME traders look at it...plus my forecast number is set .01% higher to force me to act a little earlier...I have fully sold all zinc stocks now...and even though the price can continue to go up because people see headline dropping...they are in effect ignoring the lag effect on demand...
All we are seeing now is the clearance from gross stocks of what's already been sold at a lower price than what it is today and this where hedge funds and novice traders get caught...
Furthermore, there are a few uncertainties starting to creep in.
1. Copper stocks are rising, so with a small correction in the price we could see speculators reverse their positions on ZFX for example. Not likely but happens regularly or temporarily.
2. Aus interest rates are set to rise and may cause a temporary sell-off, especially if there is a few down days in the US.
3. Oil has also yet to find a bottom.
So with all this considered I opted to sell for a very tidy profit and will sit it out for a week or so.
Good luck.
JH
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Made a killing in the last 6 weeks...Also noticed a that...
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