Comments
Copper futures (November expiry) on the Multi Commodity Exchange (MCX) has been tracing a sideways trend since the beginning of October. It has been oscillating between ₹700 and ₹710.
It was earlier in a downtrend. So the bears have lost some momentum. However, this does not guarantee a bullish reversal. Especially given that copper futures is now trading in a range, the direction of the break can indicate the next possible swing in price.
A breakout of ₹710 can turn the short-term outlook positive and copper futures may rally to ₹750.
On the other hand, below the range bottom of ₹700, there is another important support at ₹690. So, the bears should drag the contract below this level to regain control.
If the support at ₹690 is removed, we can see a quick decline towards the support band of ₹660-665.
Trade strategy
Traders can stay out for now as copper futures is not trending at the moment. Consider fresh positions along the direction of the break from the range of ₹690-710.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.