Copper Futures Maintain Steady Uptrend as September Contract Crosses ₹1,400 Resistance

Copper futures recorded a steady recovery over the past week, driven by a rebound from support levels. The August futures contract is currently trading at ₹1,396 per kilogram, while the September contract stands at ₹1,405 per kilogram.

Chart analysis indicates that the broader uptrend remains intact with a high likelihood of a further rally. As the August contract approaches its expiry date on Monday, August 31, market participants are shifting focus to the September contract for ongoing trades and analysis.

Last week, the September copper futures successfully rebounded from a support level of ₹1,365, which coincides with the 21-day moving average. Continuing this upward momentum, the contract surpassed the immediate resistance level of ₹1,400 on Wednesday.

Market projections anticipate another leg of the rally from current levels, with a potential target of ₹1,440. Conversely, should the contract face a downward correction, immediate support levels are identified at ₹1,380 and ₹1,365. Market analysts note that as long as the ₹1,365 support holds firm, the underlying uptrend will remain stable, with additional downside support noted at ₹1,350.

For active traders holding positions in the near-expiry August contract, market recommendations advise exiting longs at the current level of ₹1,395 and rolling over positions into the September futures contract at ₹1,405. Recommended trading parameters for the September contract include a target price of ₹1,440 and a stop-loss positioned at ₹1,380.

"Commodity market movements, such as the steady uptrend observed in copper futures, require disciplined risk management and close attention to technical indicators like moving averages and contract expiry dates. For businesses and traders operating in commodities, monitoring key support and resistance levels—such as the ₹1,365 support and ₹1,440 target for September copper—is essential for making informed capital allocation decisions during transitional contract periods." — Dr. Shishir Gupta, Founder & CEO, StartupLanes