Copper ends sideways trading

Despite piercing the support of the lower trend line of the channel up pattern and the November and December low levels, the price for copper recovered during the same session on December 15. Afterwards, the price started to find support in the channel pattern, before starting a surge. The following surge tested the November high zone for half-a-month. On January 12, the high level zone was passed. On January 15, the previous resistance was providing support.

In theory, the price should surge. A potential surge of the commodity would face resistance in round price levels as the 4.6000 and 4.7000, before the price reaches the October high levels above the 4.8000 mark. Above these levels, note the 2021 high level at 4.8900.

On the other hand, a decline would have to pass the November high level zone at 4.4913/4.5140. Below the zone, the price could find support in the combination of the 50 and 200-day simple moving averages near 4.3700. Further below, the lower trend line of the channel up pattern, which has guided the rate since June.

Copper

Ethereum faces resistance

Since the last review, the price for Ethereum has broken the wide channel up pattern that guided the price since June. The breaking was followed by a decline below the December and mid-October low level zone at 3,383.00/3,500.00.

In early January, the pair passed the support of the zone and the 200-day simple moving average and declined to the 3,000.00 mark. Most recently, the currency rate recovered and began to test the 3,383.00/3,500.00 zone and the 200-day SMA. Meanwhile, it was spotted that Ethereum had been declining in a channel down pattern since early November.

If the rate passes the resistance zone and the 3,500.00 level, it would face the upper trend line of the channel down pattern near 3,600.00. Higher above, the 50-day simple moving average might act as resistance near 3,900.00. In the case that all of these resistance levels are passed, the cryptocurrency would have no resistance as high as the all-time-high level zone at 4,775.00/4,865.00.

However, a bounce off from the resistance zone would look for support in the 3,000.00 mark. Below 3,000.00, the September low level zone at 2,660.00/2,750.00 could stop a decline.

Ethereum

This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.

Feed news

Latest Forex Analysis


Latest Forex Analysis

Editors’ Picks

EUR/USD extends slide to 1.1300 as dollar gathers strength

EUR/USD continues to stretch lower and tests 1.1300 handle ahead of the American session. The greenback outperforms its major rivals as safe-haven flows dominate the financial markets. Investors await Markit's preliminary US Manufacturing and Services PMI data. 

EUR/USD News

GBP/USD tests 1.3500 on risk aversion, weak UK data

GBP/USD continues to edge lower and trades at its weakest level in more than two weeks near 1.3500. The data from the UK revealed that the private sector's business activity expanded at a softer pace in early January than it did in December.

GBP/USD News

Gold holds near $1840 ahead of key Fed meeting as geopolitical worries rise

Gold is holding near $1840 despite the stronger USD on a heightened safe-haven bid amid geopolitical concerns. What is expected to be a very hawkish Fed meeting will test gold’s resilience this week.

Gold News

Crypto carnage continues to unfold

Bitcoin price has witnessed a massive crash over the past week, undoing the gains seen since July 25. Ethereum, Ripple and other altcoins have followed suit, experiencing an even worse crash. 

Read more

Nvidia extends losses after Bitcoin’s overnight flash crash

NVDA investors are getting used to seeing the colour red after a year in 2021 when all they saw was green. On Friday, shares of NVDA fell by 3.21%.

Read more

Majors

Cryptocurrencies

Signatures