According to news from London on June 6, LME copper futures are expected to continue to fluctuate within wide range on Tuesday, as the market's indefinite status continues after breaking away from record highs last month.
A trader said: “The market has been away from the record high ($8,800) hit last month ($8,800), but it is still at a good level. There is intermediate support at around $7,730, but the main support is at $7,500.â€
LME aluminum may face further pressure following Monday's decline as key technical support has been broken.
Traders said that overall, metal futures have stagnated since multiple contracts hit a high point last month, and the recent trend is expected to fluctuate.
Slow trading in Asia, especially copper, at 0600 GMT, only traded more than 50 hands in electronic trading. Aluminum traded about 300 contracts.
Copper futures weakened at the beginning of the session, as the dollar held firm, but continued supply concerns have limited the downside.
Sources from the Latin American copper producer Mexican Group said on Monday that although the vast majority of workers at the Cananea copper mine are on strike, a small number of non-union workers are maintaining production.
However, the source said that if the situation is not resolved, the strike, which started last week and was changed to indefinitely on Sunday, will start affecting production in the next few days because the raw material that the mine has produced can only meet the demand. A few days of supply.
Freeport-McMoRan copper and gold company on Monday warned that in its subsidiary's large-scale mine in Indonesia's Grasberg copper production in the second quarter of copper production will be reduced by about 16% than expected, due to the mining of an unusually large amount of clay.
As of 0634 GMT, LME three-month copper was quoted at $7,720/50 per tonne, down $30 from the end of Monday.
Three-month aluminum accelerated its decline after falling below $2,700 on Monday, falling below $2,600, and is expected to test the recent low of $2,530.
Aluminum was quoted at 2,592/95 US dollars per tonne, up 12 dollars from Monday.
LME composite trading closing support resistance 14th RSI 10th MA 30th MA
Three-month copper 7750/60 * 7000 * 8800 * 52 * 7939 * 7730
Three-month aluminum 2580/81 * 2500 * 3000 * 39 * 2710 * 2827