Market Spotlight: Copper Bull Flag

Copper on Watch Copper prices are at an interesting juncture here. The short-term bear channel which has framed the recent correction lower (bear flag), looks to be failing here suggesting a continuation of the longer-term bull channel, While prices holds above the 4.6515 level, the market looks poised for another move up to the 4.8965 level. MACD is yet to switch bullish, meaning there is plenty of buying room left to keep the market supported.Key Data to Watch Copper trades in a strong positive correlation with inflation expectations. Given the vaccination progress being made and the reopening underway in many key economies, copper looks primed for further gains here. This week, the key focus will be on the US labour reports on Friday. If the data comes in as expected, or stronger, this should help support copper. Pay particular attention to wage growth, if we see a jump here, this should feed into higher inflation expectations, lifting copper.Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% and 65% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

from Tickmill Expert Blog - Forex Traders Blog https://www.tickmill.com/blog/market-spotlight-copper-bull-flag"
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