Search ForexCrunch
  • Copper bears take a breather around seven-week low, sidelined of late.
  • Clear break of $4.45 support convergence, bearish MACD favor sellers.
  • $4.30 can probe bears aiming for 100-day SMA, mid-March top.

Having dropped to the fresh low since April 23, copper prices remain subdued around $4.33, down 0.08% intraday, ahead of Wednesday’s European session.

The red metal marked the heaviest slump since October 2020 the previous day after breaking the key $4.45 support convergence, now resistance, comprising 50-day SMA and an upward sloping trend line from February 02.

As MACD signals back the support break, copper becomes vulnerable to extend the south-run towards the $4.20-18 area including 100-day SMA and March 15 top.

It’s worth noting that the $4.30 threshold and April 20 top near $4.29 may offer immediate support to the commodity.

On the contrary, corrective pullback needs to cross the $4.45 key hurdle, previous support, to recall the buyers.

Also acting as the upside barrier is a downward sloping trend line from May 10, around $4.56.

Overall, copper bears keep the reins as bearish MACD signals back the key support break.

Price of copper: Daily chart

Trend: Bearish