Friday the Three-month copper on the London Metal Exchange ended at $7,445 a tonne, up 1.6 percent from a close of $7,330 on Thursday, when it hit its lowest since June 22.

A recovery in China can push copper prices higher to $8,000. But a strong breakthrough of $8,000 is needed to reverse the downtrend and take copper higher to $8,500 and then to $8,660 in the medium-term.

But is Europe collapses, a strong fall below $7,250 will drag it down to $7,000 and then to $6,700 in the medium-term.

Any dips are worth buying in copper, long term the trend forward is a strong one supported by both fundamentals and the falling values of all currencies.

According to Economist Shayne Heffernan the Chinese growth outlook appears riddled with risk, with soft investment growth likely to weigh on commodities demand over coming quarters. Taken together, metals demand is likely to remain restrained, which could keep prices at low levels in the near term,

HCM Custom Metals Chart Exclusive to

Shayne Heffernan

Shayne Heffernan oversees the management of funds for institutions and high net worth individuals.

Shayne Heffernan holds a Ph.D. in Economics and brings with him over 25 years of trading experience in Asia and hands on experience in Venture Capital, he has been involved in several start ups that have seen market capitalization over $500m and 1 that reached a peak market cap of $15b. He has managed and overseen start ups in Mining, Shipping, Technology and Financial Services.Read the Terms of Service