Copper Prices Under Pressure as Sellers Keep Downward Momentum

Copper prices are under pressure, trading down 1.32% to $6.5287 per pound as sellers continue to exert downward force below the critical resistance level of $6.62.

The current market conditions show a tight physical supply chain, with London Metal Exchange price spreads indicating acute shortages in near-term delivery. This has led to increased speculative flows into the copper market, driven by the potential for volatility and upside gains.

However, bearish momentum remains strong, as indicated by copper trading below its short- and medium-term moving averages while remaining above its 200-period average on the daily timeframe. Technical indicators also suggest a continuation of downward pressure, with the Relative Strength Index (RSI) at 42.93, MACD flashing bearish conditions, and Stochastic RSI and Awesome Oscillator both showing oversold signals.

The current technical setup predicts a 67% likelihood of further downside movement within the $6.4187 to $6.6387 price range, with a moderate probability of a rebound at 33%. A decisive break below the $6.4187 threshold could signal renewed bearish momentum in copper.