COPPER trade ideas
Copper is preparing for the breakoutCopper is setting for a breakout after a record high for the PMI index from ISM, published on Monday. That might be a game changer for commodity markets, as it might point to a production recovery and give relief against the recession narrative.
Some commodity markets are already moving (such as Crude oil, Gold, or Cocoa), while others are consolidating around possible intermediate-term dips.
Copper emerged from a trading range not so long ago, and after having retraced to the 20-day moving average, displays a strong responsive buying activity.
So, one may consider a momentum trade with a further expansion, as shown in the chart.
Manage your risk at all times!
Copper. The spring is compressingEvery day, we are seeing higher volumes in options, with predominantly bullish option portfolios targeting the 4.05-4.1 range. Graphically, after the data release, there is consolidation under the resistance level, which reinforces the possibility of an upcoming upside shot.
Copper Chart Analysis🚀 Copper Breakout Potential 🚀
Asset: Copper ($3.86318)
1. Mirroring Silver : Copper, like Silver, has formed a symmetrical triangle pattern, but with a shorter timeframe of 2.5 years. This pattern similarity across assets can be significant.
2. Crucial Zone : Copper is currently trading within a narrow range near its resistance level. This zone highlights the impending breakout decision.
3. Breakout Trigger : A convincing break above the 3.89 level would confirm the triangle breakout and signal potential bullish momentum.
4. Upside : If the breakout is sustained, Copper could climb towards the 4.20 - 4.44 range. These levels might act as potential resistance areas.
5. Consolidation Alternative : Failure to break above 3.89 might lead to consolidation between 3.67 and 3.90, indicating a period of reassessment by traders.
🚨🚫 Disclaimer:
This analysis is for educational purposes only and not financial advice. The author is not a SEBI-registered financial advisor. It is recommended to conduct thorough research and consult certified financial professionals before making investment decisions. #Copper #BreakoutChart #TechnicalAnalysis 📊📈🔍
Bullish signs for COPPERBased on my analysis, the price of copper has successfully breached a crucial resistance level, signaling a potential trend reversal. The price has made 4 attempts to break through the resistance line before finally pushing through, followed by a retracement and a bounce off the newfound support. Interestingly, a huge spike in trading volume coincided with the same trading day of this bounce.
To further support my idea of a reversal, a Golden Cross has formed, where the 50-day moving average has crossed above the 200-day moving average. This widely recognized bullish indicator suggests a positive shift in market sentiment.
Thank you for viewing my idea.
Dr. Copper Sets Sights on Higher LevelsDr. Copper has recently demonstrated signs of strength, largely attributed to China's stimulus measures. This price surge is occurring within a pattern of consistently higher lows since the lows of 2023. It's important to highlight that this upward momentum previously broke through the downtrend line stemming from the highs of 2023.
Following its breakthrough of the $3.82 resistance level yesterday, attention is now focused on the potential for a sustained positive price trend. If the industrial metal maintains a price above $3.82 per pound, it could set its sights on the psychologically significant level of $4 and the resistance level established in August. These levels appear to be potential objectives worth considering in the near future.
Copper's Upside PotentialCopper made a breakout of the 2023 downtrend and after the retest of the trend channel and 89 day moving average it is picking up again.
Today's PMI numbers will be valuable for copper in the next few weeks. All of the EU, UK and US manufacturing PMIs jumped way more than expected. US manufacturing PMI even past the 50 mark, meaning the economic activity in the US manufacturing sector is rising again. I expect manufacturing to make a comeback in 2024 after 2 years of slump. Latest China stimilus also has a positive affect on copper. The bad news is the copper supply is expected to rise this year.
All in all, with the recovery of manufacturing and hopefully China, incoming rate cuts might give copper the fuel it need for a surge. My main target is 4.30 and stop will be 3 days below 89 day moving average (for now).
COPPER 13/01Pair : Copper - CU
Description :
Bullish Channel as an Corrective Pattern in Long Time Frame with the Breakout of the Lower Trend Line and Bearish Channel as an Corrective Pattern in Short Time Frame and Rejection from Upper Trend Line. Completed " 12345 " Impulsive Waves and making its " A " Corrective Wave. We have LL - LH and Break of Structure