Copper hit fresh over two year high on bullish extension today

Slobodan Drvenica Windsor Brokers

COPPER

July copper rose further on Wednesday, extending strong rally on Tuesday when the metal was up 3.75% for the day. Copper hit fresh over two-year high at $2.9040, after generating strong bullish signal on Tuesday's close above strong resistance at 2.8215 (13 Feb former top) one-year recovery rally from $1.9360 (2016 low). Further upside is seen likely as the metal regained strong momentum on very positive sentiment, boosted rising demand from the biggest copper consumer China, as well as tight supply. Bulls could extend towards Fibo 138.2% projection at 2.9550, with psychological $3.0000 barrier also coming in sight. The price so far did not show more significant reaction on strongly overbought daily studies, but technical pullback on profit-taking after strong rally could be expected. Limited correction should ideally find footstep at 2.8250/15 zone (Fibo 38.2% of 2.6975/2.9040 upleg/former high) with extension towards 2.8000 (50% retracement) which would keep larger bulls intact. Otherwise, loss of 2.8000 handle would initial signal of deeper pullback.

Res: 2.8885; 2.9040; 2.9310; 2.9550
Sup: 2.8555; 2.8305; 2.8215; 2.8000

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD tests nine-day EMA support near 1.1850

EUR/USD remains in the negative territory for the fourth successive session, trading around 1.1870 during the Asian hours on Friday. The 14-day Relative Strength Index momentum indicator at 56 stays above the midline, confirming steady momentum. RSI has eased but remains above 50, indicating momentum remains constructive for the bulls.

GBP/USD consolidates around 1.3600 vs. USD; looks to US CPI for fresh impetus

The GBP/USD pair remains on the defensive through the Asian session on Friday, though it lacks bearish conviction and holds above the 1.3600 mark as traders await the release of the US consumer inflation figures before placing directional bets.

Gold: Will US CPI data trigger a range breakout?

Gold retakes $5,000 early Friday amid a turnaround from weekly lows as US CPI data loom. The US Dollar consolidates weekly losses as AI concerns-driven risk-off mood stalls downside. Technically, Gold appears primed for a big range breakout, with risks skewed toward a bullish break.

Bitcoin, Ethereum and Ripple stay weak as bearish momentum persists

Bitcoin, Ethereum and Ripple remain under pressure, extending losses of over 5%, 6% and 4%, respectively, so far this week. BTC trades below $67,000 while ETH and XRP correct after facing rejection around key levels. With bearish momentum persisting and prices staying weak, the top three cryptocurrencies continue to show no clear signs of a sustained recovery.

A tale of two labour markets: Headline strength masks underlying weakness

Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.

Aster Price Forecast: Demand sparks on Binance Wallet partnership for on-chain perpetuals

Aster is up roughly 9% so far on Thursday, hinting at the breakout of a crucial resistance level. Aster partners up with Binance wallet for the second season of the on-chain perpetuals challenge.