Copper on MCX settled up 2.36% at 407.65 rallied on fresh buying as prices got support on Chilean labor unrest and hopes for an infrastructure boost in the US. The metal got a boost from concerns over a potential strike in the giant Escondida copper mine in Chile, majority owned by BHP Billiton PLC , a strike could disrupt the source of around 5% of the world's copper production. The copper price has gained more than 26% in the last three months amid shifting sentiment on demand for the metal in China and the U. S., where President Trump has pledged to boost infrastructure spending. The metal is also benefiting from hope that Mr. Trump will fulfill those promises -- which could boost the demand for the metal -- even as the new president's protectionist rhetoric has stoked concerns about new barriers to global trade, pushing the U. S. dollar down to two-month lows on Monday. Meanwhile, the physical market is fairly quiet while China is away on holiday ahead of the Chinese New Year later this week. While support also seen as the total net long position of funds trading copper on the London Metal Exchange rose to 68,348 lots last Friday from a net long position of 66,837 lots the previous week, the LME's Commitments of Traders Report (COTR) showed on Tuesday. Technically market is under fresh buying as market has witnessed gain in open interest by 19.27% to settled at 20540 while prices up 9.4 rupee, now Copper is getting support at 400.8 and below same could see a test of 393.9 level, And resistance is now likely to be seen at 411.3, a move above could see prices testing 414.9.

Trading Ideas:

# Copper trading range for the day is 393.9-414.9.

# Copper rallied to fresh high as support seen from Chilean labor unrest and as the dollar struggled amid concerns of U. S. protectionism.

# Escondida union rejects wage deal, tells workers to prepare for 'extended' strike

# China imported 3.63 million tonnes of refined copper last year, just shy of the previous year's record 3.68 million tonnes