Comex High Grade Copper Futures (HG) Technical Analysis – November 2, 2015 Forecast

December Comex High Grade Copper futures reached a one-month low early in the trading session on Monday after China’s factory growth contracted in October, leading to concerns about future demand for the industrial metal.

Technically, the main trend is down according to the daily swing chart, however, today’s session begins with the market in a prolonged break in terms of price and time. This puts it in the window of time for a potentially bullish closing price reversal bottom.

The main range is 2.2255 to 2.4375. Its retracement zone is 2.3315 to 2.3065. Trader reaction to this zone will likely determine the near-term direction of the market.

Based on Friday’s close at 2.3175, the first upside target is a price cluster at 2.3315 to 2.3330. A sustained move over this area will signal the presence of buyers. This could trigger a quick rally into a long-term uptrending angle at 2.3455.

The daily chart indicates that there is plenty of room to the upside on a sustained move over 2.3455.

A sustained move under 2.3065 will indicate the presence of sellers. The first downside objective is a long-term uptrending angle at 2.2855. This angle provided support earlier in the session.

If the selling is strong enough to take out 2.2855 then look for the break to extend into the next uptrending angle at 2.2555. This is the last potential support angle before the 2.2255 main bottom.

Watch the price action and read the order flow at 2.3315 and 2.3065 today. Trader reaction to these levels will tell us whether the bulls or the bears are in control today.

Look for a bullish tone to develop on a sustained move over 2.3315 and a bearish tone to develop on a sustained move under 2.3065.