Copper (LME) maintains its bull “flag” and strategists at Credit Suisse see significant further upside, with initial resistance seen at $7254/7348.
“Copper maintains its bullish ‘flag’ continuation pattern and we expect a further rise toward $7254/7348 – the high of 2018 and 50% retracement of the 2011/2016 collapse. Whilst we suspect this caps at first, above in due course can see the 61.8% retracement at $7947.”
“We would highlight that bull ‘flags’ can lead to a full extension of the previous upmove, which could potentially see strength extend as far as $8895.”
“Support at $6465 ideally holds setbacks, but with a move below $6226 needed to negate the ‘flag’.”