S&P BSE METAL INDEX

BSE

METAL

The log-normal monthly chart of BSE Metal.

Go short below 11700, tgts 10600, stop just above 12035.

Metal stocks have shown long term weakness with respect to BSE500, with support at 6000 levels. Another interesting point to note is that the index has short upward cycles but downward trends tend to drag out for 2 to 3 times the timelines of the upward trends, notable exception being the trend between 2005 and 2008. Both the MACD and the relative strength...