Copper - engulfing candlestick on the weekly creates optimism for the bulls

Engulfing candlestick on the weekly creates optimism for the bulls

An engulfing candlestick on the weekly chart for copper last week, bulls now have an opportunity to regain control following the nearly 15% pullback over the last 6 weeks. Currently, the commodity is trading at around $9,974 an ounce. The resistance in focus for the bulls is now the level of $10,009, a close above $10,000 would potentially create a base for further consolidation before another move higher. A break above $10,202 would increase the likelihood of this scenario. The key support for the near term is now $9,479, a break below here would see the bears regain control putting much pressure on the bulls. This would raise the likelihood of traders turning to other assets and maybe creating a deeper sell-off towards $9,000. The MACD is now trying to level itself out after turning negative over the recent weeks, but the RSI is back to positive and reading 60.