Commodity Trading Tips for Copper by Kedia Commodity

Ajay Kumar Kedia 11 February 2014

Copper Copper settled flat at 444.50 little changed near a one-week high on Monday, as investors looked ahead to key economic data out of China later in the week to gauge the strength of the world's second largest economy. On Thursday, China will release its monthly trade data, which will be followed by inflation numbers Friday. The Asian nation is the world's largest copper consumer, accounting for almost 40% of world consumption last year. Meanwhile, in the U. S., data on Friday showed that the economy added 113,000 jobs in January, well below expectations for jobs growth of 185,000, after December's lackluster gain of 75,000 jobs. It was the weakest two-month stretch of job creation in three years as inclement weather contributed to a slowdown in hiring. Yet the report also showed that the number of people participating in the labor force edged up to 63% from a 30-year low of 62.8% last month, while the unemployment rate unexpectedly ticked down to a five year low 6.6% from 6.7% in December. Market players now looked ahead to Congressional testimony from new Federal Reserve Chair Janet Yellen later in the week for clues regarding the future of course of U. S. monetary policy. The Fed tapered its monthly asset purchase program by another USD10 billion to USD65 billion a month at its last policy meeting. Technically market is under fresh selling as market has witnessed gain in open interest by 4.23% to settled at 10720 while prices down -0.2 rupee, now Copper is getting support at 443 and below same could see a test of 441.3 level, And resistance is now likely to be seen at 447.1, a move above could see prices testing 449.5.