COPPER – sharp fall broke below key supports
Copper was sharply down on Tuesday and moved into negative territory, hitting two-month low at $3.0170.
Strong bearish acceleration was triggered profit-taking actions which also offset positive impact from better than expected China’s PMI data in November.
Fresh bearish acceleration broke below base at $3.0305/15 zone and in extension cracked next support at $3.0232, provided by ascending 100SMA.
Negative signal of bearish continuation of the downleg from $3.2580 high (the highest since July 2014), with close below $3.0324 (Fibo 61.8% of $2.8930/$3.2580) and $3.0305 base, needed to confirm.
Fresh bears would extend towards $2.9889 (bear-channel) and $2.9577 (Fibo 38.2% of $2.4720/$3.2580 rally) in extension.
Res: 3.0315; 3.0505; 3.0755; 3.1175
Sup: 3.0110; 3.0000; 2.9889; 2.9577