As can be seen from the adjacent chart, MCX Copper was moving up in a short term rising channel. However it couldn’t surpass the upper end of the medium term falling channel. The price broke the lower end of the rising channel and retested both the channel lines. From there the next leg down has started, which is subdividing into lower degree waves. Recently Copper has formed a bearish flag pattern. The daily momentum indicator is in a bearish mode. The equality target on the downside is Rs408. Reversal can be kept at Rs426 on a closing basis.