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Comex High Grade Copper Futures (HG) Technical Analysis – November 27, 2015 Forecast

By:
James Hyerczyk
Published: Nov 27, 2015, 09:26 UTC

March Comex High Grade Copper spiked higher during Thursday’s abbreviated trading session. There wasn’t much volume behind the move. Additionally, it was

Daily March Comex High Grade Copper

March Comex High Grade Copper spiked higher during Thursday’s abbreviated trading session. There wasn’t much volume behind the move. Additionally, it was likely triggered by short-covering rather than aggressive buying. This likely means there will be a pullback into a short-term value zone.

Daily March Comex High Grade Copper
Daily March Comex High Grade Copper

The main trend is down according to the daily swing chart, but momentum has shifted to the upside, leading to the formation of a new main bottom. The new main range is 2.0020 to 2.1345. Its pivot is at 2.0680. This price is controlling the short-term direction of the market.

Based on the close at 2.0900, the key angle to watch comes in at 2.0820.

A trade over this angle will indicate the presence of buyers. If buying volume comes in on the move then look for increased momentum with the next target Thursday’s high at 2.1345.

The next target over 2.1345 is a steep uptrending angle at 2.1620. Overcoming this angle will put the market in a strong position.

The main range is 2.3695 to 2.0020. If the buying continues then its retracement zone at 2.1860 to 2.2290 becomes the primary upside target. Additional resistance could come from a downtrending angle at 2.1995. Since the main trend is down, sellers are likely to re-emerge on a test of this retracement zone.

A sustained move under 2.0820 will indicate the presence of sellers. This could trigger a break into the pivot at 2.0680. The daily chart opens up under the pivot with potential targets at 2.0420, 2.0220 and 2.0120.

Watch the price action and order flow at 2.0820 today. Trader reaction to this angle will tell us whether the bulls or the bears are in control.

We could be going through a transition period so investors should watch closely to see if real buyers are coming in on breaks under 2.0680. They are going to try to form a secondary higher bottom.

If the selling has dried up because of oversold conditions then the market is likely to rally to at least 2.1860 over the near-term. This assessment will be negated if selling pressure takes out the main bottom at 2.0020. 

About the Author

James is a Florida-based technical analyst, market researcher, educator and trader with 35+ years of experience. He is an expert in the area of patterns, price and time analysis as it applies to futures, Forex, and stocks.

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