Potential Double Bottom in Copper may invite bulls in the streets.

Copper COMEX bounced off from crucial level $3.0500 which was supported by descending parallel channel line. Metal made a double bottom at the crucial level of 3.0500 and jumped nicely. Price breakout objective for bulls is now placed at $3.2755 and sustained rebound above that level may help this metal to recover from current down trend. Areas of 3.2755 are expected to act as strong resistance and if selling pressure appears near the same then we will see a near term consolidation in this metal between key support at 3.0500 and resistance at 3.2755. Overall trend is down but bears need to show more power by producing closing below $3.000 to confirm a fresh bearish attempt.

There are 2 possible opportunities to trade this metal.

1. Selling copper near $3.2600-3.2700 with stop loss above 3.2800 (closing basis for targeting $3.1000 and more down side in short term.

2. Buying copper if manage to produce close above 3.2755. In that scenario buying copper around 3.2755-3.2650 with stop loss below 3.22000 for targeting $3.4170-3.5000 in short term.

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