Comex High Grade Copper Price Futures (HG) Technical Analysis – Crossing $3.1825 Will Put Copper in Extremely Bullish Position

December Comex High Grade Copper futures begin the week in a very strong position. Prices are being driven higher by the weaker U.S. Dollar and expectations of increased demand from China.

Weekly Technical Analysis

The main trend is up according to the weekly swing chart. The market is not in a position to change the main trend to down, but it is in the window of time for a potentially bearish closing price reversal top.

If the rally continues this week then the main tops at $3.2245 and $3.2415 will become the primary upside targets.

On the downside, the nearest support is the major Fibonacci level at $3.0230.

Forecast

Based on last week’s close at $3.1180, the direction of the copper market this week will be determined by trader reaction to the steep uptrending angle at $3.1825. Crossing to the strong side of this angle will put copper in an extremely bullish position.

Other upside targets include a downtrending angle at $3.1890, followed by $3.2245 and $3.2415.

A failure to overcome $3.1890 will not mean the market is getting ready to turn lower, but it could be an indication that the buying is getting lighter, or that the selling is getting stronger.

If there is a sell-off then look for a possible pullback into $3.0230.

The price action this week will be dictated by the direction of the U.S. Dollar and China’s trade balance report.