Copper on MCX settled down -0.25% at 332.95 recovered from the day's low as boosted by a weaker dollar. Copper fell in yesterday session as the appetite for risk among investors fell, and volumes dwindled ahead of the U.S. Federal Reserve's policy meeting started yesterday.

The U.S. Federal Reserve, which begins its two-day meeting on Tuesday, is expected to keep interest rates unchanged this week, but analysts say some policymakers are likely to argue for a rate hike in the coming months. 

Three-month copper on the London Metal Exchange was down 0.7 % to $4,867 a tonne, the lowest since July 18, extending a 0.4% decline from Monday. Some investors are also worried that prices will be pressured by rising copper supply, highlighted when Grupo Mexico's April-June data showed copper output surging 22.7% to 266,071 tons from the same 2015 period. Now investors will be looking to Wednesday’s highly-anticipated Federal Reserve policy statement for fresh guidance on the pace of interest rate hikes over the next several months. 

Technically market is under long liquidation as market has witnessed drop in open interest by -0.28% to settled at 15751 while prices down -0.85 rupee, now Copper is getting support at 330.2 and below same could see a test of 327.4 level, And resistance is now likely to be seen at 334.9, a move above could see prices testing 336.8.