The red metal has rising after inflation data from China were worse than expected (1.2% vs. 1.3% expected), which has led to expectations that the National Bank of China can go to expansion of incentive program to encourage the economy to recovery. But while talking about the fact that there has been a turning point for copper trend is clearly premature.
The slowdown in economic growth of China, which is the main consumer of the red metal, the decline in industrial production, clearly suggests a reduction in demand. Therefore, it is possible that after the correction of quotations metal resumed its decline.
Support and resistance levels
Support 1 2,6674
Support 2 2,6022
Current price: 2,7325
Resistance 1 2,7472
Resistance 2 2,7915
Copper index (HG) – sell copper – Sales down in the rebound from the level 2.7472. The goal – 2.6674. Stop-Loss = 2,7915
Warning: Profitability in the past does not mean profitability in the future. Any projections are for informational purposes and do not guarantee the results obtained.