In a range-bound session favoring short positions, Copper remains constrained in a $4.21 to $4.27 range and is currently trading close to $4.21 per pound.
- United States Existing Home Sales (Dec) is next today at 15:00 UTC.
- Today's down move comes after a 4 day uptrend, during which Copper added 1.73% to its value.
Earlier data releases related to the Copper future – highly important Crude Oil Inventories data from United States beat analyst expectations of -593,000 with a reading of 8.41 million. United States Philadelphia Fed Manufacturing Index (Jan) came out at -8.9, while a consensus of analysts was expecting -11.
Technical analysis of the Copper future before macro data is released:
Copper made an initial break below its 3 day Simple Moving Average at $4.22, a possible indication of a forthcoming negative trend. Despite this, the Copper future could begin to recover as it approaches significant support, now 1 cents away from $4.2. Dipping below could be an indication that further losses are ahead.
Following today's unexpected losses, extensive multifactorial technical analysis forecasts CME Copper to buck against its prevailing uptrend and begin to dip lower in the short term. With all probabilities considered, the Copper is expected to attract significant bearish sentiment in the coming days.
Coming up for the Copper future — United States Existing Home Sales (Dec) is scheduled for today at 15:00 UTC.
As the markets get ready for more data to be released — Palladium is down $44.5 from the beginning of the session and now trades around $1,724. Silver gained 0.78% and is now trading at $24.05. Platinum descends 0.63% to trade around $1,034.5.
The commodity has been trending positively for about 2 months. The Copper future has managed to gain 11.05% so far this year despite trading at lows around $3.21 previously.