Copper yesterday traded with the negative node and settled -1.03% down at 412.95 losses as upbeat US data helped revive buying interest in the metal which is headed for its best weekly showing in a month. But copper's gains are being kept in check by rising oil prices and the shaky euro zone economy. There was further evidence of the US economy healing after data showed the number of Americans filing new claims for jobless benefits last week held at the lowest level since the early days of the 2007-2009 recession and that US home prices rose 0.7% in December. The weaker economic outlook in the Europe and Chinese manufacturing activity survey cut short copper's rally earlier in the week. The fact that losses had been modest in the past two days meant there's underlying strength building in the background which could be well spurred by any sign of pickup in Chinese demand. China's imports of copper concentrate are expected to rise by about 10% in 2012 on strong smelter demand, curbing end-users' appetite for overseas purchases of the refined metal. Intimidation and violence by some workers against others who did not take part in last year's three-month strike at Freeport mine have interrupted resumption of normal operations, the company said. For today's session market is looking to take support at 410.2, a break below could see a test of 407.4 and where as resistance is now likely to be seen at 416.1, a move above could see prices testing 419.2.

Trading Ideas:

Copper trading range for the day is 407.4-419.2.

Copper fell pressured by tepid Chinese buying at the start of the year and expectations of recession in the euro zone

Copper failed to get much support from news of renewed violence and work stoppage at Freeport-McMoRan Copper & Gold Inc's

Expectations of a global copper production deficit are supporting prices