Aluminium and nickel head lower as others consolidate for the time being.
Copper
All downtrends remain firmly in force with little evidence of any bottom to this major bear cycle yet. Interim objectives on approach to the 4,300 region have been achieved but immediate recovery attempts are likely to be restricted to unsustainable and probably short-lived corrective bounces only with strong resistance starting in and around the 4,930/50 zone. Only a clear and sustained break back above here would trigger more serious near-term gains and set up a challenge of the 5,180/5,200 area where better supply should then be stimulated. Supports now at 4,460/80 then in the 4,350/70 level.
Trading strategy: Having taken profits on shorts now look for corrective bounces prior to re-establishing.
Aluminium
Intermediate- to long-term bearish patterns remain firmly intact with a retest of the historically important 1,430/40 area now possible in the weeks ahead. However, interim supports should be anticipated at 1,530/40 initially, then at 1,470/80 although immediate recovery attempts should be restricted to potentially sharp but probably short-lived corrective bounces only for the time being. Overhead resistances start now in and around the 1,630/40 zone with a clear and sustained break back above here, needed to relieve the current downward pressure and signal more serious near-term gains closer to 1,700/10.
Trading strategy: With profits on shorts secured would remain on the sidelines for the time being.
Zinc
Intermediate- to long-term bear trends remain firmly in force and while interim supports should be anticipated at 1,760/70 initially then again towards the 1,710/20 zone, immediate recovery attempts should be restricted to potentially sharp but probably short-lived corrective bounces only for the time being. Strong overhead resistance should be encountered starting in the 1,930/40 area with a clear and sustained break above here needed to extend near-term gains and set up a fresh challenge of the more important 2,050/70 region where better supply should then be stimulated.
Trading strategy: With profits on shorts now secured, await corrective bounces prior to re-establishing.
Lead
The medium- to long-term trend structure is clearly pointed down with completed topping patterns capable of pushing values generally lower in the coming weeks. However, interim targets in and around the 1,550 area have almost been achieved with these latest falls looking in need of correction and/or reconsolidation ahead of fully resuming the main downward cycle. Strong overhead resistance waits now at 1,740/50 initially then again towards 1,810/20 with only a period of re-accumulation capable of improving the underlying technical tone.
Trading strategy: With trends having turned down would continue probing the short side on corrective bounces.
Nickel
Intermediate- to long-term technical studies remain clearly bearish with prices expected to head towards the 10,400/10,500 region in the days ahead. While good support should be anticipated in this area, a clear and sustained break beneath here could extend falls closer to the 10,000/10,100 zone ahead of better demand being stimulated. Immediate recovery attempts should remain limited to short-lived corrective rebounds only for the time being with strong overhead resistances now waiting at 11,700/11,800 initially then again towards the 12,200/12,300 area.
Trading strategy: With profits on shorts secured will await next signal prior to re-establishing.
Tin
Overall technical studies remain decisively bearish with little evidence of a bottom to this major downward cycle yet. The prices area is approaching the next important downside objectives in and around 13,000 where historically good support should be uncovered. However, immediate recovery attempts are likely to be restricted to potentially sharp but probably short-lived corrective bounces only for the time being with strong overhead resistances waiting at initially 15,000/15,100 then 16,000/16,100 with a period of basing needed ahead of sustainable rallies being secured.
Trading strategy: With profits secured, will await the next correction ahead of re-establishing.
Gold
Short- to medium-term trends have turned down with an important top confirmed to be in place. Initial downside objectives in and around the 1,445.0/50.0 area have been fulfilled with a fresh period of correction and reconsolidation currently being experienced. However, strong overhead resistances waiting at 1,565.0/70.0 initially then at 1,600.0/05.0 should restrict immediate upside potential with a period of rebuilding/basing now clearly required prior to sustainable rallies being achieved. Note: a clear
and sustained break beneath the 1,445.0/50.0 zone could extend losses closer to the 1,400.0/05.0 region.
Trading strategy: Remaining on the sidelines for now awaiting corrective bounce to consider probing short side.
Silver
Intermediate- to long-term trends are down and with further layers of historically important supports having now been decisively broken falls closer to the 10.00/20 region are now likely. Interim demand should be uncovered in and around the 11.20/40 area although immediate recovery attempts should
now be restricted to potentially sharp but probably short-lived corrective rebounds only for the time being. Strong overhead resistances should now be encountered starting in the 14.40/60 then 1,600/20 zones with only a period of re-accumulation capable of improving the underlying tone.
Trading strategy: Utilising potentially sharp corrective bounces to probe the short side looking for 10.00 region.
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.
Tuesday, March 24, 2020 Tel: + 44 (0)7710369208 – www.cliffgreenconsultancy.com – email: cliff_green@hotmail.com