Asian Metals Market Update for 5th February

US President Donald Trump wants to take over

• Greenland
• Panama Canal
• Gaza Strip. (Indirectly controlling the Suez Canal)

USA under Trump wants to control (i) the Key global shipping routes and (ii) Nations having strategic minerals like Ukraine. In short, Trump wants the USA to control global trade and the global economy. Global economic growth will be decided by the president of the USA if Trump has his way.

Beyond a certain limit, nations will not bow to the dictate of the USA (except India). They will increase bilateral steps to reduce dependence on the USA. Self-developed technologies will increasingly be used by more and more nations. There will be less reliance on Google and Snapdragon processors, among other technologies. Trade Protectionism will be all over, in everything from a pin to a plane by every nation and in whichever way they can. The net impact on the metals market will be (i) Hypervolatility in non-ferrous metals like copper. (ii) Hyper bullish trend in gold and silver. Physical gold takes preference over futures, ETFs, etc. More and more people will try and stash physical gold with every price rise.

Focus shifts to various US January jobs reports. Geopolitical events can cause some very sharp stop loss eating two-way price moves.

CME COPPER MARCH 2025 – Current price $436.80

• TODAY’S VIEW: Copper has to trade over $432.00 to rise to $444.80 and more.
• Immediate resistance is at $441.90. (i) Crash or sell-off once again today will be there if copper March does not break $441.90 and/or (ii) There will be a technical breakout rally if copper March trades over $441.90 after LME opens and till days close.
• (The above views are intraday)

Disclaimer

• The investment ideas provided is purely independent view point and are solely for collective learning and for academic interests. There is no commercial benefit accruing or have deemed to accrue to me out of providing such investment ideas.
• The investment ideas shared here cannot be construed as investment advice or so. If any reader is acting on these advices, they are requested to apply their prudence and consult their financial advisor before acting on any of the recommendations made here. I am not responsible to anybody in the event of profits and losses (if any) upon acting on such advice.
• I hope that our reader is aware about this well aware of the risk involved in trading in commodity derivative trading.

Disclosure: I trade in India's MCX commodity exchange. I have open positions in India's MCX commodity future. I do not trade in CME future or OTC spot gold and spot silver.

NOTES TO THE ABOVE REPORT

1. ALL VIEWS ARE INTRADAY UNLESS OTHERWISE SPECIFIED
2. Follow us on Twitter @chintankarnani
3. PLEASE NOTE: HOLDS MEANS HOLDS ON DAILY CLOSING BASIS
4. PLEASE USE APPROPRIATE STOP LOSSES ON INTRA DAY TRADES TO LIMIT LOSSES.
5. THE TIME GIVEN IN THE REPORT IS THE TIME OF COMPLETION OF REPORT
6. ALL PRICES/QUOTES IN THIS REPORT ARE IN US DOLLAR UNLESS OTHERWISE SPECIFED.
7. ALL NEWS IS TAKEN  FROM REUTERS NEWSWIRES.
8. TECHNICAL ANALYSIS IS DONE FROM TRADINGVIEW SOFTWARE