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Copper, a widely traded commodity, is currently exhibiting intriguing patterns within a crucial resistance zone, hinting at potential market dynamics. The formation of an ending diagonal pattern suggests a culmination of bullish momentum within this zone, possibly indicating an impending pullback before a continuation of the upward trend.Examining the larger framework on the daily timeframe, Copper’s price trajectory reveals a complex corrective structure known as a double zigzag correction. This correction commenced from 3.136 in July 2022 and has since progressed through two distinct legs: wave (W) concluding at 4.355 in January 2023, followed by wave (X) terminating at 3.524 in October 2023. Presently, the focus lies on wave (Y), which is evolving into another double zigzag pattern. Projections suggest potential extensions to levels around 4.45 and 4.90. Notably, both waves W and X of (Y) have completed, with wave Y showing signs of continued upward momentum.Zooming in on the H4 timeframe offers further insights into the sub-waves of wave Y. Starting at 3.655, wave Y is currently unfolding as a zigzag pattern, with particular attention drawn to wave (c). This sub-wave of blue wave Y is forming an ending diagonal pattern within the aforementioned resistance zone, indicating a potential exhaustion of buying pressure. The emergence of blue wave x is anticipated if Copper remains below the 3.9475-3.9735 resistance zone, likely leading to a temporary retracement. Following wave x, expectations point towards wave y of Y resuming the bullish trajectory, with a target set around 4.45.In summary, Copper’s price action suggests a complex corrective phase within a key resistance area, possibly paving the way for a brief pullback before a continuation of the overarching bullish trend. Understanding these patterns across different timeframes provides valuable insights for traders navigating the dynamic commodity markets.Technical Analyst : Sanmi AdeagboMore By This Author:Elliott Wave Technical Analysis: DOGEUSD – Wednesday, March 13
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