Copper Starting to Look Weaker Rather Than Stronger
Supply entered the market in February evidenced by the close at approx 3/4 and confirmed by March's bar - a down bar of similar volume closing slightly above the halfway point of February's bar. March's bar was approximately only half the spread of February's bar indicating that there wasn't good ease of movement to the downside. The close in the bottom third of the bar also indicated that buyers were still present.
April confirmed this fact with a widespread upbar on slightly reduced volume closing close to the top of the bar. The spread of the bar although being widespread was still less than that of February, and the close did not provide much gain over February's high indicating that although buyers were present they were having to exert far more effort to markup prices.
This was confirmed by May's bar with a reduced spread, increased volume and close at the midpoint indicating both a reduced ease of movement to the upside and supply entering the market.
April confirmed this fact with a widespread upbar on slightly reduced volume closing close to the top of the bar. The spread of the bar although being widespread was still less than that of February, and the close did not provide much gain over February's high indicating that although buyers were present they were having to exert far more effort to markup prices.
This was confirmed by May's bar with a reduced spread, increased volume and close at the midpoint indicating both a reduced ease of movement to the upside and supply entering the market.