LME aluminium may retest $2,549 this week; second bounce likely

SINGAPORE: LME aluminium may retest a support at $2,549 per tonne this week, a break below which could open the way towards $2,340.

The support has triggered a bounce which has been developing within a rising channel.

The metal seems to have got off the track. It may be unable to fulfil a target of $2,808.

However, the contract may not break $2,549 and drop straight towards $2,340 in its first attempt. The current speculation is it may manage to stabilize around $2,549 and bounce again.

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