MCX copper weekly report 5-9 May 2014
copper daily chart technical analysis
MCX copper future on last trading session closed at 411.15 with gain. On daily chart, copper future price trend is down but momentum is building for recovery. Strong recovery bullish pattern is forming on indicators suggesting bullish breakout and short-term trend change for copper prices in future. On downside, 410 and 400 rupee are strong support zones out of which 410 is 1 week and 1-month average level. On upside 419 and 434 are strong resistances. 419 is 3-month average level.
Traders use 400-410 zones for buying and accumulation with strict stop loss below 396 for targets 419 and then 434 in next week.
copper weekly chart technical analysis
MCX copper future this week closed with loss of 1.6%. This week copper future high was at 421 while low was at 402. Total 19 rupee or almost 5% swing for prices and closed in red. Weekly chart price trend is down but momentum is slowing building for bulls that is why we had seen recovery from 395 to now 410. On downside 400 and 375 are strong medium to long-term support zones while on upside expect strong supply from market at 430 and 435 level. 430 is 2 years average level and then 435 is 12 and 6 month averages zone. Indicators pattern also suggesting recovery ahead.
Therefore, investors above 400-rupee level can take long view for targets 430 to 435 in upcoming weeks. Any weekly closing below 400 rupee with strong volume will be primary trend resume signal and in that case, copper may tumble up to 480 to 440 rupees.