Copper settled down by -0.89% at 433.45 as the market set back after a three-day rally, despite supportive news that the ECB will undertake an aggressive bond-buying program to help struggling euro zone countries. ECB President Draghi said the central bank would undertake unlimited, short dated bond purchases to keep borrowing costs down for Spain, Italy and other struggling countries. Copper paused to digest the news of the ECB's program as well as the bank's decision to keep interest rates on hold. Market also sided with caution after a double-dose of positive labor market news in the US suggested Friday's more comprehensive nonfarm payrolls report may come in stronger than many had previously expected. Despite the mild losses, copper remained well supported as Draghi's plan to help solve the critical debt situation in the euro zone should spur the region's economic growth and boost demand for industrial metals. Although LME copper stocks fell for the 7th consecutive session to hit their lowest level since October 2008, demand for the industrial metal on the physical market remained sluggish. But weak production data could help mitigate the effects of dwindling demand. For today's session market is looking to take support at 431.4, a break below could see a test of 429.3 and where as resistance is now likely to be seen at
437.3, a move above could see prices testing 441.1.

Trading Ideas:

Copper trading range for the day is 429.3-441.1.

Copper dropped despite supportive news that the ECB will undertake an aggressive bond-buying program.

Copper paused to digest the news of the ECB's program as well as the bank's decision to keep interest rates on hold.

Copper also had a muted reaction to U. S. data that showed the claims for jobless benefits fell last week