JAN 29 THURSDAY

SHORT TERM TREND : SIDEWAYS

LONG TERM TREND: BEARISH

S1 RS 55.10 , S2 RS 52.60 , S3 RS 52

R1 RS 57.30 , R2 RS 59 , R3 RS 60.70.

Zinc stocks have more than tripled over the past year

to about 320,000 tonnes , they are still well below

the record of 800,000 tons reached on the LME in 2004.

Zinc producers have taken drastic steps to cut output .

At current prices 65 % mf zinc producers are operating

at break even or even at a loss.

Analyst say we could drift lower and briefly test the bottom

end of the trading range of $ 950 early in 2009.