A further positive session as copper’s rally continues and others challenge resistances.
Short- to medium-term trends are up and despite that lack of underlying basing activity, the past four months’ impressive strong recovery continues for the time being. Resistances waiting at 6,230/50 initially and even the more important 6,340/60 area could come under examination in the days ahead although this market remains vulnerable to potentially sharp corrective pullbacks in the days and weeks ahead. Pivotal support is visible in and around the 5,980/6,000 zone with a clear and sustained break beneath here needed to trigger deeper near-term losses and set up a challenge of 5,840/60 then 5,660/80.
Trading strategy: Looking to establish longs on potentially sharp corrective pullbacks.
Underlying technical studies continue to improve with at least a secondary bottom confirmed to be in place, while immediate recovery attempts should again meet strong overhead resistance in and around the 1,630/40 area with a clear and sustained break above here needed to extend gains and set up a challenge of the 1,680/90 zone where better supply should then be stimulated. Any further bouts of weakness should be cushioned by support waiting in the 1,560/70 region with a decisive market close back under here needed to trigger more serious near-term losses and signal a test of 1,520/30 where fresh demand should be uncovered.
Trading strategy: Remaining on the sidelines for the time being, awaiting the next directional signal.
Short-term trends are clearly pointed up with at least a secondary bottom confirmed to be in place, though immediate rally attempts should again meet stiff overhead resistance in and around the 2,090/2,100 area with a clear and sustained break above here needed to generate fresh upward momentum and signal a test of the 2,190/2,200 region next. However, until/unless achieved, further choppy two-way market activity is likely with local support now waiting at 2,000/10 initially, then in the more important 1,950/60 zone with a decisive break beneath here needed to trigger deeper losses.
Trading strategy: Continuing to probe the long side on corrective pullbacks looking for the 2,200 region.
The short- to medium-term technical outlook continues to improve with a least a secondary bottom confirmed to be in place with prices expected to head higher in the days/weeks ahead. Initial objectives are set in and around the 1,900/10 area, which, if decisively breached, would signal an acceleration towards next targets in the more important 2,030/40 region where better resistance should then be encountered. Any fresh corrective dips should now uncover good support on approach to the 1,740/50 zone with a clear and sustained break beneath here needed to trigger deeper near-term falls.
Trading strategy: With a base now confirmed, would be looking to utilize corrective dips to probe the long side.
Underlying technical studies continue to improve with an important cyclical bottom now appearing to be in place. Prices could now head towards the 14,400/14,500 area in the weeks ahead and while interim resistance should be encountered in and around the 13,800/13,900 zone, any fresh dips are now likely to be restricted to corrective pullbacks only for the time being. Key local support remains in place on approach to the 12,400/12,500 region with only a clear and sustained break back under here likely to damage the improving technical outlook.
Trading strategy: Continuing to probe the long side on corrective pullbacks looking for the 14,400 area initially.
While overall technical studies remain decisively bearish with little evidence of a bottom to this major downward cycle as yet, short-term trends are pointed up with the past three months’ corrective recovery continuing for the time being. Expect strong overhead resistance to be encountered on approach to the 17,800/17,900 region with this market still vulnerable to renewed bouts of weakness in the days and weeks ahead. Support is now visible starting at 15,300 then 14,600/14,700 with a close beneath here needed to trigger deeper falls and set up a retest of the 13,100/13,200 zone.
Trading strategy: Monitoring the current corrective phase for an opportunity to re-establish shorts.
While underlying bullish patterns remain firmly in force with little evidence of a top as yet, our long-awaited objective in and around the 1,800.0 region is now being approached where strong resistance should be encountered. A fresh period of correction and/or reconsolidation could develop in the short-term with local support now visible starting in the 1,740.0/45.0 area. A clear and sustained break beneath here could extend near-term falls closer to the more important 1,700.0/05 zone where better demand should then be stimulated. Note: A decisive market close above 1,800.0 would signal 1,825.0/30.0 next.
Trading strategy: Continuing to buy dips/holding longs looking for the 1,800.0 region. Protecting profits now under 1,740.0.
Short- to medium-term technical studies have clearly improved with prices breaking decisively to the upside from the confines of the past months’ reconsolidative pattern. The market looks capable of challenging the 19.50/70 area in the days/weeks ahead and while interim resistance should be encountered in and around the 18.30/50 region, immediate pullbacks are likely to be limited to corrective dips only for the time being. Local support is now visible starting at 16.50/70 then again towards the more important 15.40/60 zone with only a close back under here likely to trigger deeper near-term falls.
Trading strategy: Continue to buy dips/holding longs looking for 18.80/19.60 regions.
The data shown and the views expressed on this sheet are for information purposes only and do not constitute recommendations to trade. Cliff Green Consultancy does not accept any liability for loss or damage suffered through any actions taken or not taken as a result of reading any information provided herein.
Wednesday, July 08, 2020 | Tel: + 44 (0)7710369208 | www.cliffgreenconsultancy.com | email: firstname.lastname@example.org