XCUUSD: Is Copper topping out?
I see signs of weakness in the recent price action of copper.
1. There was a significant increase in the daily volume(double!) but price only manage to close in the lower daily range. There's strong selling in the background despite the strong Bulls attempt to push price higher.
2. The next day, price manage to make a higher high but daily closes marginally lower than the day before. Drop down to H8 and you would notice that during NY session, even with the higher volume than London session, price didn't close higher. This is a sign of sellers flooding the market that stops the advancing Bulls.
3. The long daily lower wick that extend beyond the previous day low shows' the intend of sellers to push the market lower but Bulls ended up the winner with the daily closed in the upper daily range.
A rejection in the lower time frame to the SZ I drawn would strengthen the sign of weakness and a Bearish daily closed will confirmed the weakness.
Will be watching Copper closely for a SHORT trade.
DISCLAIMER:
Any opinions, analyses discussed in this presentation are just my personal opinion and do not constitute investment advice.
I do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
PRICE ACTION only tell half the story. The other key half is VOLUME. For VOLUME drive price.
1. There was a significant increase in the daily volume(double!) but price only manage to close in the lower daily range. There's strong selling in the background despite the strong Bulls attempt to push price higher.
2. The next day, price manage to make a higher high but daily closes marginally lower than the day before. Drop down to H8 and you would notice that during NY session, even with the higher volume than London session, price didn't close higher. This is a sign of sellers flooding the market that stops the advancing Bulls.
3. The long daily lower wick that extend beyond the previous day low shows' the intend of sellers to push the market lower but Bulls ended up the winner with the daily closed in the upper daily range.
A rejection in the lower time frame to the SZ I drawn would strengthen the sign of weakness and a Bearish daily closed will confirmed the weakness.
Will be watching Copper closely for a SHORT trade.
DISCLAIMER:
Any opinions, analyses discussed in this presentation are just my personal opinion and do not constitute investment advice.
I do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
PRICE ACTION only tell half the story. The other key half is VOLUME. For VOLUME drive price.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.