Copper Bullish stance 29 February 2016

COMEX copper recently faced resistance near the upper end of the medium-term falling channel and formed a minor degree correction. In terms of Fibonacci retracement, it retraced 61.8% of the previous rise. The daily momentum indicator completed the correction cycle and has started a new cycle on the upside. In terms of price pattern, copper formed a right shoulder of an inverted Head & Shoulder pattern, which is a bullish pattern. In the week gone by, the pattern has broken out on the upside. The swing low of $2.06 will now act as a key support. The targets from short-to-medium term perspective will be $2.20 and $2.35.