Copper May Rally 373 within Fortnight 
 

Copper is trading at Rs. 361 (23rd Thursday 2010, Time 1.10 PM). It is traded with 
more  volume  as  compared  with  any  other  Base  Metals  in  MCX,  its  average 
volume for past 10 trading days is around 91925(in lots) (as compared with other 
volume  blaster  of  MCX  in  Base  Metals  viz.  Nickel  having  Average  of  62418,  and 
Lead  having  Average  of  19792),  it’s  yesterday’s  closing  was  358.60.  Technically, 
Copper  has  just  formed  BULLISH  PENNANT  pattern  which  is  being  shown  in  the 
chart given above. According to the formation of pattern the target of Copper is 
coming at 373, in subsequent sessions. And has just given a breakout above the 
pattern additionally, we can also have confirmation from the increase in volume, 
on 22nd September 2010.  

Prices  are  lying  above  its  medium  term  moving  averages  (MA  9  and  MA21). 
Moving  Average  9  valuing  at  Rs.  356.74  and  MA  21  at  Rs.  356.18,  this  can  be 
considered  as  good  support  region  for  coming  sessions.  RSI  valuing  at  62  lying 
above its equator line (50), which is also consider as a bullish signal.  

Fundamentally, Copper rose for a second day in London as the dollar weakened, 
making commodities cheaper for buyers using other currencies. The three‐month 
contract on the London Metal Exchange was little changed at $7,836.25 a metric 
ton  at  10:34  a.m.  in  Singapore  after  climbing  to  $7,868  yesterday,  the  highest 
price  since  April  16.  December‐delivery  copper  on  the  Comex  division  of  the 
NewYork Mercantile Exchange was also little changed at $3.568 a pound. 

We suggest accumulating copper up to 356 with stop loss of 351 for the target of 
370‐375. 

   

Moving Average Values (in terms of INR, Rs.)
30  351 
50  346 
100  327 
200  329 
 

 
 
 Daily Resistance and Support Levels (Values in terms of INR, 
Rs.) 
Resistance  Support 
368  354 
364  349 
356  346 
 

Disclaimer: Arihant capital markets limited is not soliciting any action based upon it. This document has been prepared
and issued on the basis of publicly available information, internally developed data and other sources believed to be
reliable. However we do not represent that it is accurate or complete and it should not be relied upon such. Whilst
meticulous care has been taken to ensure that the facts stated are accurate and opinions given are fair and reasonable,
neither the analyst nor any employee of Arihant is in any way responsible for its contents. The firm or its employees may
trade in investments, which are the subject of this document or in related investments and may have acted upon or used
the information contained in this document or the research or the analysis on which it is based. Before its publication
the firm, its owners or its employees may have a position or be otherwise interested in the investment referred to in this
document. This is just a suggestion and the firm or its employees will not be responsible for any profit or loss arising
out of the decision taken by the reader of this document. No matter contained in this document may be reproduced or
copied without the consent of the firm. 
 

  

ARIHANT capital markets ltd.

3rd Floor Krishna Bhuvan, 67, Nehru Road, Vile Parle (E) Mumbai 400057. Tel. 022-67664800. Fax: 022-
67664880 . Visit us at: www.arihantcapital.com