Copper settled down -0.43% at 427.90 fell to a seven-week low giving up its's earlier gain's as investors were cautious ahead of key economic data out of China, while geopolitical developments in Ukraine, Iraq and Gaza remained in focus. Chinese industrial production, retail sales and urban investment figures for the month of July are all due for release on Wednesday. Data over the weekend showed that consumer price inflation in China held steady at 2.3% in July, in line with expectations. Copper prices have been on a downward trend in recent sessions amid indications of a slowdown in demand from China, the world's largest consumer of the red metal. Official trade data released August 8 showed that China's copper arrivals fell 2.9% month-on-month in July, declining for a third straight month. The ZEW think tank reported on Tuesday that the economic sentiment in the euro zone tumbled in August from 48.1to 23.7 and that in Germany also dropped sharply from 27.1 to 8.6, the lowest since Dec'12. The markedly lower sentiment indicates that analysts and investors have lost confidence in these two economies, compounding concerns about whether the recovery in Germany and even in the euro zone will sustain in the third quarter. The German economics ministry warned on Tuesday that Germany's growth is likely to have slowed down in the second quarter since the geopolitical upheavals in Ukraine and the Middle East hampered the country's factory production and exports. Meanwhile, investors should keep a close eye on Germany's preliminary Q2 GDP growth due for release on Thursday. Technically market is under fresh selling and getting support at 426.3 and below same could see a test of 424.8 level, And resistance is now likely to be seen at 430.4, a move above could see prices testing 433.

Trading Ideas:

Copper trading range for the day is 424.8-433.

Copper prices fell after disappointing German data stoked concerns that growth is slowing in Europe's largest economy.

Poor data for the euro zone and Germany triggered concerns over a slowdown the German economy.

Investors remained cautious against geopolitical crisis and before the release of China's fixed asset investment and housing investment data.