The weakness in the US Non Farm payroll data released last Friday is sill maintaining its impact on metal. The impact is twofold, firstly it is the weakness in the dollar which has pushed the price of the copper and other metals higher. Secondly, traders have started to scale back on their speculations that cheap money will be leaving the town soon- a rate hike by the US.
Therefore, if cheap money is still present, then it means it is cheaper for firms to investment and this represents a higher demand for the metal.
At the same time, yes, there is no denial that most traders are expecting another big bang from the PBOC in terms of announcing another stimulus package and if that does take soon, it may lift the price of metal higher due to the increase in the manufacturing activity.
The metal is trading in a downward channel on a 4 hour time frame and as long as we stay within this channel, the bias remains towards the downside.