Trading consistently above 435 levels would lead towards the strong resistance at 441 levels, and then finally towards the major resistance at 445 levels.
MCX Copper August as seen in the weekly chart above has opened with gap up at 417 levels and as expected it corrected sharply and made a low of 414.55. In the week prices could not able to breach the support zone of 413 – 415 levels and it bounced sharply from the lower levels towards the weekly high of 428.40 levels. In the week prices finally closed 2.81% higher at 427.50. Technically, as per the candlestick pattern prices have formed “Bullish candlestick” indicating strength in the prices.
For the next week we expect Copper prices to find support in the range of 422 – 420 levels. Trading consistently below 420 levels would lead towards the strong support at 414 levels and then finally towards the major support at 410 levels.
Resistance is now observed in the range of 433 - 435 levels. Trading consistently above 435 levels would lead towards the strong resistance at 441 levels, and then finally towards the major resistance at 445 levels.
MCX / LME Copper Trading levels for the week
Trend: Up
S1 – 420 / $ 7,000 R1 – 433 / $ 7,220
S2 – 414 / $ 6,900 R2 – 438 / $ 7,300
Weekly Recommendation: Buy MCX Copper August between 420 – 422, SL- 414, Target – 433 / 435