Commodities● Neutral
Energy Metals Face Short-Term Bearish Pressure
Copper holds above $6 support, while uranium and lithium break key technical levels, pointing to further downside, analyst says.
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Copper, uranium and lithium prices are under short-term selling pressure, according to an analysis by Muhammad Umair, founder of Gold Predictors. The long-term outlook remains supported by global electrification and energy storage demand. The near-term technical signals point to further downside for uranium and lithium, with copper consolidating near support.
Copper prices are consolidating above $6.20, with immediate support at $6, Umair said. A break above $6.45 would signal a move toward $6.70. A drop below $6 would open the path to $5.20. The Sprott Copper Miners ETF is trading between $31 and $45. A break below $31 would likely push it to $25, Umair said.
China's energy storage capacity has reached close to 155 gigawatts and is expected to hit 300 gigawatts by 2030, supporting long-term demand for copper and lithium. Umair noted that China's planned consumption tax on certain lithium-ion battery products could raise costs for producers and exporters, potentially reducing excess competition and balancing the lithium market.