(Disclaimer : The above chart shown is for study purpose only and not for trading decision)
Wednesday, August 22, 2012
Copper: Tumbling down
With the triangle break-out copper formed the third leg on the upside, which achieved its equality target ($3.9). The base metal also reached near the 61.8% retracement mark ($4.02). From there copper started a channelised decline. Recently from the upper end of the channel the red metal has started a fresh leg on the downside. The targets on the downside would be $2.994, ie the previouslow and $2.58, ie the equality target. On the other hand,the swing high of $3.557 will act as a crucial resistance.