LME aluminium to break support at $1,815

LME aluminium has completed rebound triggered by support at $1,815 and is expected to break this level on Tuesday.

Support is provided by the 76.4 percent Fibonacci retracement on the rise from the Aug. 7 low of $1,773.25 to the Aug. 19 high of $1,949, serving as the last barrier towards $1,773.25.

Wave pattern shows that the rebound has been driven by a wave 4, which has peaked around resistance at $1,840, the 61.8 percent retracement.

This wave is expected to be totally reversed by a downward wave 5, which is capable of travelling to $1,773.25.

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