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FxWirePro: Copper turns bearish after failure to break above daily cloud, eyes 200-DMA support

COPPER chart - Trading View 

Copper was trading 0.59% lower on the day at 4.2172 at around 11:20 GMT, after closing 0.75% lower in the previous session.

Copper prices extended weakness on Wednesday, as investors reduced risk exposure amid upcoming week-long holiday in China starting Oct. 1.

Demand and supply uncertainty caused by a China's power curtailment along with a stronger US dollar kept investor wary.

DXY hit 10-month highs, making the greenback-priced metals more expensive and less appealing to holders of other currencies.

Copper bulls failed to take prices above the daily cloud. Doji formation at highs raised scope for further weakness.

RSI has turned south. Copper is on track to test 200-DMA at 4.1675, break below will plummet prices further.

Break below 200-DMA will see dip till major trendline support at 3.98. Bearish invalidation only above daily cloud. 
 

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