Is the Bullish Rally for Copper Set to Explode?

Ultima Markets offers an in-depth analysis of copper, providing key insights for December 11, 2025.

Copper's Bullish Momentum

Copper's price action shows a strong bullish trend. Following a sharp decline in July/August 2025, the metal has since formed a classic "Rounding Bottom" pattern over the past four months, signalling a recovery. Currently, the price is trading above all three major moving averages, indicating that buying momentum is intact.

The Purple Moving Average has provided consistent support throughout November and December, with buyers stepping in at this level to push prices to new local highs. This upward trend remains intact as long as the price stays above 5.00. A drop below this level would break the sequence of higher lows and likely cause a decline toward the long-term Green Moving Average at around 4.75.

Key Levels

The immediate resistance is at 5.35, with a daily close above this level signalling the start of the next move upward. The next resistance is around 5.52, which corresponds to a swing high from mid-July before the major price spike. The ultimate long-term target is 5.8660, the peak from July 2025.

Support begins at 5.18 to 5.20, where the Purple Moving Average lies, acting as the first line of defence. Further support is found between 5.00 and 5.01, marking a psychological level and a prior consolidation zone, with the Black Moving Average trending higher toward this area. A drop below 4.84, the key swing low from late October, would threaten the integrity of the bullish trend.

Copper Set for Big Moves

The chart suggests that the correction phase is over. Look for potential buy entries on pullbacks to the 5.28-5.29 range, aiming for a price target of 5.38, provided the price stays above the 5.24 swing low.

Breakout Scenarios

For a continued bullish trend, monitor for a clear breakout and a sustained hold above 5.3350, confirmed by the Purple Moving Average crossing above the Black Moving Average. If this occurs, the price could quickly reach 5.38, with a potential move towards 5.42 or higher.

On the other hand, if the price faces resistance at 5.33 and falls below the MAs at 5.28, it could indicate a consolidation phase between 5.28 and 5.33, allowing the indicators to cool down before attempting a rally. With Stochastics at 89, the market may be overbought. A drop below 5.2370 would shift the trend to bearish, likely targeting the Green Moving Average at 5.17.

Is the Power Breakout for Copper About to Happen?

The trend has shifted bullish, but a short consolidation or a slight pullback is expected to help the Stochastics reset before the upward movement continued toward the 5.36-5.39 range.

“Buy the Dip” Opportunity

With Stochastics at 95, entering at 5.3414 is risky. It's better to wait for a slight pullback to the 5.3100-5.3200 zone. If the price touches 5.31 and starts to bounce, or if the Purple MA aligns with the price, this creates a strong entry signal, targeting a move from 5.34 to 5.36

Power Breakout

If buying pressure is strong enough to override the overbought conditions, Copper could break through 5.3414 with momentum. A confirmed 30-minute close above 5.3420 would likely lead to a sharp rise toward 5.3660.

Navigating the Forex Market with Ultima Markets

Successfully navigating the world of trading, whether in commodities such as copper, or forex, indices, and shares, requires staying informed and making data-driven decisions. Ultima Markets is dedicated to providing valuable insights that empower your financial journey, with personalised guidance tailored to your specific needs.

Join Ultima Markets today to access a comprehensive trading ecosystem filled with the tools and knowledge you need to thrive. Explore UM Academy for expert resources and stay tuned for ongoing updates and analyses from our team of experts.

—–

Legal Documents

Trading leveraged derivative products carries a high level of risk and may not be suitable for all investors. Leverage can magnify both gains and losses, potentially resulting in rapid and substantial capital loss. Before trading, carefully assess your investment objectives, level of experience, and risk tolerance. If you are uncertain, seek advice from a licensed financial adviser. Leveraged products are not intended for inexperienced investors who do not fully understand the risks or who are unable to bear the possibility of significant losses.

Copyright © 2025 Ultima Markets Ltd. All rights reserved.

Disclaimer

Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided.