Copper on MCX settled down -0.3% at 328.35 on profit booking after prices gained amid as Chinese economic data pointing to robust demand for industrial metals. China's official Purchasing Managers' Index (PMI) expanded at the fastest pace in more than two years in October, figures showed, adding to the view that a credit and housing boom is stabilising the world's second-largest economy. The PMI stood at 51.2 in October, much stronger than September and the highest reading since July 2014. The economy in China, the world's biggest consumer of copper, expanded at a steady 6.7 percent clip in the third quarter and looks set to hit Beijing's full-year target of 6.5 to 7 percent. In China, treatment and refining charges have climbed almost 17 percent this year to about 27 cents a pound. These charges, which are paid by miners, tend to rise when there's an oversupply of the concentrates that smelters turn into refined cathode. It's a similar picture in Europe, where Aurubis, the Continent's biggest smelter, expects treatment charges to be about $7.50 to $12.50 a metric ton higher in 2017 than they've been this year. Codelco, the world's biggest copper producer, has cut its premiums for European sales to their lowest level since 2010, reports showed last week. LME Copper stocks fell a net 475 tonnes at 319,000 while cancelled warrants jumped 11,400 tonnes to 145,975 tonnes - 7,925 tonnes were cancelled in Busan and 2,575 tonnes in Port Klang. Technically market is under long liquidation as market has witnessed drop in open interest by -7.8% to settled at 23290 while prices down -1 rupee, now Copper is getting support at 326.7 and below same could see a test of 325 level, And resistance is now likely to be seen at 329.9, a move above could see prices testing 331.4.

Trading Ideas:

Copper trading range for the day is 325-331.4.

Copper dropped on profit booking after prices gained amid as Chinese economic data pointing to robust demand for industrial metals.

China's official Purchasing Managers' Index (PMI) expanded at the fastest pace in more than two years in October, figures showed.

Codelco, the world's biggest copper producer, has cut its premiums for European sales to their lowest level since 2010, reports showed.