CME Copper drops 3.9 cents early on and steadies around the $4 per pound level.
- United States's Non Farm Payrolls new data released of 311,000 below its previous figure.
- Today's fall comes after a 3 day uptrend, during which the Copper future added 1.04% to its value
United States Non Farm Payrolls released today at 13:30 UTC is better than expected at 311,000 but down from preceding data of 504,000 according to new data. Highly important Unemployment Rate data from United States beat analyst expectations of 3.4 with a reading of 3.6.
Copper could begin to recover as it approaches significant support, now 2 cents away from $4. Dipping below could be an indication that further losses are ahead. Despite being in the red so far in the current trading session, Copper peaked above its 3 day Simple Moving Average around $4 — typically an early indicator of a new bullish trend beginning to emerge. Bollinger Bands® shows an indication of recovery: the lower band is at $3.94, a low enough level to, generally, suggest that CME Copper is trading below its fair value. In contrast, a Bearish Harami chart pattern, which is a means of predicting reversals in bull markets. When a Bearish Harami is detected at the top of a prevailing uptrend, it is typically considered a bearish signal and a prelude to a potential trend reversal.
Despite suffering losses in today's session, technical analysis is indicating that Copper will undergo a significant bounce in the immediate term.
Having closed the previous session at $20.02, Silver is up 3.07% today to currently trade at around $20.64. Gold added 1.54% to its value, now trading at $1,862.8. Palladium gained 1.15% and is now trading at $1,375.
CME Copper hit a significant low of $3.21 around 7 months ago, but has since recovered 25.81%.