SINGAPORE: LME aluminium may test a support at $1,905 per tonne this week, a break below which could cause a loss to the next support at $1,868.
These supports are identified respectively as the 61.8 percent and 76.4 percent projection levels of a downward wave C from $2,059.
This wave is capable of travelling into the range of $1,810-$1,905.
A weak support at $1,917, the Nov. 28 low, has temporarily stopped the wave C.
The bounce triggered by the support may end around $1,934, as pointed by a falling trendline.
A break above $1,934 may open the way towards $1,964.
The analysis will be published once a week on Monday.