Comex High Grade Copper Futures (HG) Technical Analysis – October 21, 2014 Forecast

December Comex High Grade Copper closed lower on Monday, but before it did, traders were able to confirm the previous day’s closing price reversal chart pattern.

The main trend is down on the daily chart. The short-term range is 3.1045 to 2.9515. Its retracement zone at 3.0280 to 3.0460 is the primary upside target.

The first downtrending angle and potential resistance is 3.0045. If the retracement zone can’t stop the rally then look for the move to extend into another downtrending angle at 3.0545.

The main trend won’t turn up until the swing top at 3.1045 is violated, but even before this price is reached, the buying must be strong enough to take out a pair of downtrending angles at 3.0795 and 3.0870.

A trade through 2.9515 will negate the reversal chart pattern and could trigger the start of an acceleration down to the March 19 bottom at 2.8845.

The tone of the market today will be determined by trader reaction to the angle at 3.0045 and then again at 3.0280.