CME Copper Futures: Rising Trend Line Intact

Copper price remains supported by expectations that government spending would boost demand for the industrial metal...

Uptrend 3

Copper in general keep its bullish momentum as investors continue to expect major governments' spending would boost demand for the industrial metal. Bloomberg Intelligence pointed out that China's new infrastructure plan, which includes construction of new energy vehicle charging-piles and 5G stations, could consume 150,000 tons of copper this year (1.2% of its total demand).

On a daily chart, CME Copper Futures remains on the upside as it is supported by a rising trend line drawn from March. It has rebounded sharply after reaching the trend line in early October, and recovered to the levels above both the 20-day and 50-day moving averages. The level at $2.92 may be considered as the nearest support, while the 1st and 2nd resistance are expected to be located at $3.12 and $3.30.

Source: Gain Capital, TradingView

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