Comex High Grade Copper Price Futures (HG) Technical Analysis – June 8, 2018 Forecast
July Comex High Grade Copper futures are trading lower on Friday. Profit-taking ahead of the week-end and after this week’s spectacular rally may be behind the selling pressure. The bullish catalysts remain intact, however. A weaker U.S. Dollar and supply concerns are the main drivers of the bullish price action this week.
Daily Swing Chart Technical Analysis
The main trend is up according to the daily swing chart. A trade through $3.3155 will signal a resumption of the uptrend. Today is the seventh day up from the last swing bottom so the session begins with the market in the window of time for a potentially bearish closing price reversal top.
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The minor trend is also up. Today’s early weakness, however, helped make $3.3155 a new minor top.
On the upside are two main tops at $3.3040 and $3.3420.
The major retracement zone is $3.1955 to $3.1505. Trading above this zone is helping to give the market an upside bias. These levels are support.
The main range is $3.0100 to $3.3155. Its retracement zone at $3.1630 to $3.1265 is the primary downside target.
The combination of the two retracement zones makes $3.1630 to $3.1505 the best support cluster.
Daily Swing Chart Technical Forecast
Traders are trying to decide whether the buying is strong enough to overcome yesterday’s high at $3.3155 and the December 28 main top at $3.3420.
If the buying isn’t strong enough then look for a pullback into at least the old main top at $3.2180 and the major Fib at $3.1955.
If $3.1955 fails as support then look for the selling to extend into at the series of retracement levels at $3.1630, $3.1505 and $3.1265.
The trend is strong but some of the rally was fueled by short-covering. A pullback may be necessary to attract new buyers.