Copper yesterday traded with the positive node and settled 0.37% up at 418.7 regained strength after the release of data showing slowing contraction in euro zone mfg activity, while renewed optimism over talks between Greece and its bondholders provided further support. The euro zone’s PMI rose to 48.8 in Jan, compared to a preliminary reading of 48.7 and up from 46.9 in Dec. Germany PMI’s came in at 51.0, indicating expansion and above an earlier estimate of 50.9. Meanwhile, the dollar came under pressure after Greek newspaper Kathimerini reported that the head of the IMF mission to Athens said talks on a new loan program for the country will conclude within a matter of days. Inthe other story workers of one union at Teck Resources Ltd's Chilean Quebrada Blanca mine, which produced 86,200 tonnes of copper in 2010, ratified strike action after contract negotiations with the firm broke down, a union leader said late on Tuesday night. However, a separate report from HSBC indicated that Chinese mfg activity contracted for the third consecutive month. For today's session market is looking to take support at 415.1, a break below could see a test of 411.6 and where as resistance is now likely to be seen at 420.7, a move above could see prices testing 422.7.

Trading Ideas:

Copper trading range is 411.6-422.7.

Copper settled up regained strength after the release of data showing slowing contraction in euro zone mfg activity

Workers at Teck Resources Ltd's Chilean mine, ratified strike action after contract negotiations with the firm broke down

Copper daily stocks at Shanghai exchange came up by 1402 tonnes