AHMEDABAD (Commodity Online): Copper has given strong break out amd closed above its resistance 431and closed at Rs 434.65 after making high of Rs 434.15 on MCX tracking LME Copper prices which surged due to positive US Unemployment Claims and falling dollar index.
Copper traded in positive sentiment and given breakout and setteled above 2.10 % as Greece political leaders agreed on austerity measures and reforms yesterday. ECB Mario Draghi would likely provide 130-billion-euro to Greece in the second round of bailout package, which boosted market risk appetites which lead Euro to rally upside considerably, pushing up LME copper prices.
US jobless claims decreased to 235,000, below the prior data and market anticipation, and this resulted in a high close in US equities. As a result, LME copper prices gained momentum and jumped to USD 8,700/mt from USD 8,600/mt before finally ending at a recent high of USD 8,740/mt, a surge of more than 2%.
Technically Copper prices have given strong break out so positional traders can buy on dips at 431 rupees with the stoploss of 425 rupees for the target of 438/444 rupees, informed Rushabh Mehta, analyst with Commodity Online.
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