MARKET TALK: LME Copper May Hit $7,000 Before Correcting

LME copper due for correction, but strong upside momentum may push 3-month contract towards $7,000/ton before correction occurs, says HK-based trader at international house. LME 3-month copper +$49 on London Friday PM kerb at $6,769/ton; hit 3-month high Friday on large LME stock drawdown, but profit taking later wiped out gains. Notes copper at a level "where it's touch and go, no one's discounting a move to $7,000", as falling LME stocks suggest strong demand. However, RSI indicators just below overbought level at 70. Expects correction likely once copper gains another $200-$300, should fall about $500.