MCX Copper Futures Decline From Recent Highs as Market Approaches Key Support Levels

Copper prices traded on the Multi Commodity Exchange (MCX) have experienced a downward trend over the past two weeks. After touching a high of ₹1,433 per kg, the copper futures contract has pulled back and is currently trading at ₹1,395 per kg.

Market data indicates that immediate resistance for the contract stands at ₹1,409. Meanwhile, a key support level is identified at ₹1,376 per kg, which could be tested in the coming days. The subsequent price action around this support zone will require close observation by market participants.

If the contract successfully rebounds from the ₹1,376 support level, a relief rise targeting the ₹1,400 to ₹1,410 range is considered possible. For the downside pressure to ease significantly, the contract would need to achieve a decisive break above the ₹1,410 mark, which could potentially push the MCX Copper Futures contract back up toward ₹1,440.

Conversely, if the contract fails to hold the support and breaks below ₹1,376, selling pressure is expected to intensify. Under such a scenario, a further decline toward the ₹1,355 to ₹1,350 range, or even lower levels, remains a possibility.

Current market assessments suggest that the risk-reward ratio does not favor taking any new trading positions at this stage. Traders are advised to stay out of the market until there is greater clarity regarding the directional movement following the price action around the ₹1,376 support level.

"Commodity markets require strict risk management and patience, especially during periods of price correction. As seen in the current MCX copper futures trend, when the risk-reward ratio is unfavorable, the most prudent business and trading decision is to stay on the sidelines and wait for clear technical confirmation before deploying capital." — Dr. Shishir Gupta, Founder & CEO, StartupLanes