Copper Elliott Wave Analysis – TradingLounge Daily & H4 Charts

Market Outlook

Copper and other precious metals remain in a corrective phase following the rally from May. This correction is part of the ongoing bullish cycle that started in April. The medium-term outlook still favors further upside once the current pullback completes.

Copper Daily Chart Analysis

Copper began a major bullish phase in March 2020 with a 5-wave diagonal structure, which concluded in March 2025. This advance has been labeled as wave (I). As per Elliott Wave Theory, a 5-wave advance should be followed by a 3-wave correction. Copper followed this path precisely with a sharp decline after March 2025, forming wave (II), completed in April 2025.

Following wave (II), the market saw a strong recovery. However, due to the sharp nature of wave (II), some may interpret it as an impulse wave rather than a corrective one. This creates a scenario where, unless Copper breaks above its March 2025 high, a possible double correction for wave (II) could still develop below the April 2025 low.

From the April low, Copper completed a 5-wave rally as wave ((1)) of I of (III), followed by a pullback identified as wave ((2)), completed on May 8th. The subsequent move upward may represent waves (1) and (2) of ((3)).

Copper H4 Chart Analysis

The H4 chart shows that price is likely in wave B of (2), following the completion of wave A on June 13th. A further move lower remains possible to complete wave (2) before a continuation to the upside.

As long as the 09-May low and especially the 06-April low remain intact, the bullish trend should stay supported. These levels serve as key support areas for the current wave structure.

Technical Analyst: Sanmi Adeagbo

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