LME copper signals mixed

SINGAPORE: Signals are mixed for LME copper, as it is not very clear if a support at $6,145 could hold.

The support is provided by the 23.6 percent retracement of the downtrend from $7,348 to $5,773. A break below this support could cause a loss to $6,003.

However, the drop from Sept. 21 high of $6,382.50 seems to have been shaped into a flat, which is a bullish pattern. The longer copper hovers above $6,145, the more likely the pattern is confirmed.

A high-low bottom forming around $5,773 suggests a target around $6,560, which is yet to be reached. Based on this pattern, the uptrend may resume.

A rise above $6,242 could be extended to $6,375.