A weakening dollar lent support to copper a day after fund selling sent the metal into sharp retreat. However, there is concern about the Chinese economy and pressure on copper prices if the nation's growth stumbles.
The world copper market saw a surplus of 48,000 tonnes between January and March of this year, compared with a 67,000 tonne deficit in the same year-ago period, an industry report showed on Monday. The International Copper Study Group (ICSG) said in its latest monthly bulletin that world refined copper output in January to March reached 4.382 million tonnes, while consumption totaled 4.335 million tonnes.
For today market is looking for the support at 231.80, a break below could see a test of 228.70 and where as resistance is now likely to be seen at 236.80, a move above could see prices testing 238.70.
Trading Ideas:
Copper trading range is 226-248.
World copper market saw a surplus of 48,000 tonnes in Jan-march 2009-icsg.
Buy copper June at 233-234 SL 231.80 TGT 234.80-235.20-236.80.
Sell copper June at 237 SL 239.40 TGT 235.90-234.60-233.20-231.80-230.
Copper is taking res of 237.40 above this again 240 level is expected else weak.
