Comments
LME aluminium looks neutral in a range of $1,780-$1,805 a tonne, and an escape will point a direction.
The range has been formed by the 23.6 per cent and the 61.8 per cent Fibonacci projection levels of an upward wave C, the third wave of a presumed three-wave cycle developed from March 12 low of $1,745.
A break above $1,805 could confirm the extension of the wave c towards $1,830, the 100 per cent projection level, while a break below $1,780 may cause a further loss to $1,765.
The bias could be towards the upside.
Drop from March 26 high LME copper may fall into a range of $5,932-$5,958 a tonne, as indicated by a Fibonacci ratio analysis.
The drop from March 26 high of $6,294.50 seems been controlled by various supports and resistances, derived respectively from a Fibonacci retracement and projection analyses.
The projection analysis reveals a support at $6,005 and a resistance at $6,096, respectively the 61.8 per cent and the 76.4 per cent levels, while the retracement analysis on the rise from March 18 low of $5,621.50 to $6,294.50 reveals another support at $6,037, the 38.2 per cent level and the resistance at $6,136, the 23.6 per cent level.
Even though the drop from $6,294.50 has adopted a complex mode, it seems to be incomplete, as it may extend either to $5,958, the 50 per cent retracement, or to $5,932, the 50 per cent projection level.
A break above $6,096 trigger a limited gain to $6,136.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.