Copper Prices Soar Amid Supply-Demand Imbalance

Copper prices have been seeing a surge in demand due to various factors. The market pulled back slightly on Friday, but buyers are now stepping in. Several major copper mines in Chile are struggling to operate at full capacity, which is adding to the supply-demand imbalance. Furthermore, AI data centers are requiring massive amounts of copper for their operations.

This has created a favorable environment for higher prices, and analysts believe that the market will continue to see upward momentum. The $6.50 level remains an area of support, with the 50-day EMA sitting above it. Christopher Lewis, a technical analyst at DailyForex, believes that copper will try to reach the $7 level given enough time.

According to Lewis, it would take a significant breakdown below the $6 level for him to consider shorting copper. However, he is optimistic about the market's potential and expects it to break above the $7 level in the coming weeks.