FxWirePro: Copper tests major resistance at 110-EMA, close above to see further gains

Copper chart on Trading View used for analysis

• Copper prices are extending gains for a second straight session, up 1.12% on the day.
   
• Metals remain buoyed by PBOC pledge to support firms with liquidity problems.
   
• We see major resistance at 110-EMA at 2.8254, decisive break above to see further upside.
   
• On the flip side, the pair remains supported at 50-DMA at 2.7196, break below to see further weakness.
   
• In the near-term the pair is extending sideways grind, capped between -DMA and 110-EMA. Breakout to provide clear direction.

Support levels - 2.7760 (5-DMA), 2.7196 (50-DMA), 2.707 (Sept 20 low)

Resistance levels - 2.8254 (55-EMA), 2.8841 (55W EMA)

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.