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26 Feb 2015
Copper jumps to fresh 6-week highs
FXStreet (Mumbai) - Copper prices on Comex surged to the highest levels in six weeks largely on the back of drought conditions in Chile raising concerns over copper supplies, pushing the prices higher.
Copper rallies above 2.70 levels
The red metal trades at fresh six week peak at 2.705 levels, recording a 2.29% gain on the day, having previously posted day’s low at 2.636. Copper prices rallied weekly highs after a drought was declared in Chile, world’s biggest producer of the metal, which may hamper copper production. As per reports, extremely dry conditions in the world’s top producer have hit production due to restrictions on water, used for everything from toilets for workers to separating the metals in the ore body from waste rock and tamping down dust that heavy trucks kick up.
Moreover, a broadly weaker US dollar has also added to the gains in the red metal prices. A sharp rebound in the precious metals also seems to support the copper prices.
Copper Technical Levels
Copper prices have an immediate resistance located at 2.729, above which gains could be extended to 2.760 levels. Meanwhile, support is seen at 2.67 levels, below which it can extend losses to 2.65 levels.
Copper rallies above 2.70 levels
The red metal trades at fresh six week peak at 2.705 levels, recording a 2.29% gain on the day, having previously posted day’s low at 2.636. Copper prices rallied weekly highs after a drought was declared in Chile, world’s biggest producer of the metal, which may hamper copper production. As per reports, extremely dry conditions in the world’s top producer have hit production due to restrictions on water, used for everything from toilets for workers to separating the metals in the ore body from waste rock and tamping down dust that heavy trucks kick up.
Moreover, a broadly weaker US dollar has also added to the gains in the red metal prices. A sharp rebound in the precious metals also seems to support the copper prices.
Copper Technical Levels
Copper prices have an immediate resistance located at 2.729, above which gains could be extended to 2.760 levels. Meanwhile, support is seen at 2.67 levels, below which it can extend losses to 2.65 levels.