Early dramatic falls in copper are reversed to see prices finish the day in the plus column.
Medium- to longer-term downtrends remain firmly in force with little evidence of a bottom to this major bear cycle as yet. Prices have accelerated towards objectives in and around the historically important 4,300 region with a sharp correction from here already being experienced. The speed and extent of falls has left little real overhead resistance until the 5000/20 area which, if decisively broken, could extend near-term gains closer to the 5,180/5,200 zone. However, this recovery is likely to prove short lived with an extended period of basing required prior to sustainable rallies being secured.
Trading strategy: Would take profits on any remaining shorts as further corrective strength is now likely. Stand aside.
Medium- to long-term downtrends remain firmly in force with little evidence of any bottom as yet, to this well established bear cycle. Interim objectives in and around the 1,590 area now been achieved with recent losses appearing in need of digestion through correction and/or reconsolidation in the shorter term. Local overhead resistances waiting at initially 1,680/90 then 1,750/60 should restrict immediate recovery attempts with only a clear and sustained break above here capable of improving the underlying tone. Note: A close beneath 1,580 would signal next targets around 1,540/50.
Trading strategy: Take profits on any remaining shorts with prices vulnerable to corrective bounces.
Intermediate to longer 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 historically important support being approached would take profits on any shorts for time being.
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 this market looking vulnerable to potentially sharp corrective rebounds in the shorter term. These are likely to prove short lived with strong overhead resistances waiting now at 1,740/50 initally, then again towards the 1,810/20 zone with a clear and sustained break above these levels needed to relieve the prevailing downward pressure.
Trading strategy: With trends having turned down would continue probing the short side on corrective bounces.
Intermediate to longer term technical studies remain clearly bearish with prices expected to head towards the 10,400/10,500 region in the days ahead. Interim support should now be anticipated in and around the 10,900/11,000 area although immediate recovery attempts are likely to remain restricted to potentially sharp but unsustainable corrective rebounds only for the time being. Overhead resistances are now anticipated starting in the 12,200/12,300 zone then again towards the more important 12,800/12,900 levels where better supply should then be stimulated. Only a close above here would improve tone.
Trading strategy: With downside targets being approached would take profits on any remaining shorts.
Overall technical studies remain decisively bearish with little evidence of a bottom to this major downward cycle as yet. Prices have achieved 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: Take profits on shorts looking for fresh corrective bounce.
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 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 sidelines for now awaiting corrective bounce to consider probing short side.
Intermediate to longer 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 15.00/20 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.
Friday, March 20, 2020 Tel: + 44 (0)7710369208 – www.cliffgreenconsultancy.com – email: firstname.lastname@example.org