Overview
Last Friday, the PBoC announced new easing measures, including rate cuts and stock buyback funding. Positive economic data showed Retail Sales and Industrial Production exceeded expectations, boosting copper prices that recovered most of last week’s losses.
Copper Daily Technical Analysis
The daily chart shows that copper bounced off the 4.32 support zone, where there was also a 61.8% Fibonacci retracement. Buyers came in after the PBoC’s easing measures announcement.
Sellers will look for the price to drop below the 4.32 support to target the trendline around the 4.20 level.
Copper 4-hour Technical Analysis
On the 4-hour chart, the price broke above the downward trendline, increasing bullish momentum. The first target is the swing level at 4.51, which buyers need to break to extend the rally to 4.70 resistance. Sellers may enter around 4.51 to target a drop to 4.32 support.
Copper 1-hour Technical Analysis
The 1-hour chart shows a minor upward trendline indicating current bullish momentum. Buyers may continue to use this trendline for upside positioning, while sellers will seek a break below it to target the 4.32 support. The red lines indicate today’s average daily range.
Upcoming Catalysts
This week is low on data, with significant releases expected later. On Thursday, look for Flash PMIs from Japan and the US, along with US Jobless Claims.
