The price of copper experienced significant downward pressure yesterday, influenced by the stochastic indicator nearing the 20 level. This movement has reinforced a correctional bearish bias, with copper breaking through the $4.8900 level and settling around $4.7870.
The persistent negative pressure is likely to increase the chances of copper testing the major support level at $4.7100. This support level is crucial in determining the next main trend. As such, we recommend adopting a neutral stance upon reaching this support and waiting for the next daily close to avoid potential losses from a trend reversal.
Expected Trading Range:
Support: $4.7100
Resistance: $4.9000