The price of copper is known to reflect the state of the world economy. It is closely related to infrastructure and manufacturing spending, which tend to increase during a strong economy and contract in a weak one. So it is a little surprising to see copper prices rally in the middle of the greatest crisis…
Fibonacci Support Helps Copper Bulls Gain Control
Yesterday, we shared our bullish stance on Freeport-McMoran stock. But of course, Freeport-McMoran is pretty much a pure copper play. Therefore, in order for the stock to climb, the price of copper must climb, as well. Similarly to Freeport stock, the price of copper rose between 2016 and 2018 and has been declining for the…
2020 to Bring Long-Awaited Relief to Freeport Investors
It’s been a rough couple of years for U.S.-based copper miner Freeport-McMoran. The stock reached $20.25 a share in the first month of 2018. Now, in the last month of 2019, FCX is hovering around $12.10. Despite the significant recovery from as low as $8.43 in October, the stock is still down 40% since January…
Copper Bulls Ready to Attack the $3 Mark?
A little over a months ago the price of copper was hovering above $2.92/lb., following a recovery from under $2.53/lb. For better or worse, trend-following has never been our favorite strategy. So instead of joining the bulls in anticipation of more strength ahead, we examined copper’s 2-hour price chart through the prism of the Elliott…
Copper Bulls Still in Charge but Need to Regroup
Similarly to the general commodity market, copper has been steadily climbing during the first quarter of 2019. Three months ago, the price of the industrial metal fell to $2.5281/lb. As of this writing, it is hovering around $2.9266 after reaching $2.9808 on the last day of March. According to the media, copper’s rally can be…
Copper’s Selloff Not a New Bear Market
Copper fell by over 58% between February 2011 and January 2016. By late-2017 it looked like the commodity was finally out of the woods as the price rose to almost $3.30. Analyst were already anticipating even higher prices driven by an increased demand by the electric vehicle manufacturers and China’s economic growth. Alas, the market…
Copper Facing a Correction Within Uptrend
The price of copper climbed to 2.9154 yesterday as it continues the impressive recovery from the low at 1.9322 in January, 2016. Copper prices are vitally important not only to mining companies like Freeport-McMoran, but to the world economy, as well. It is true the metal has gained over 50% in value in just a…
Copper’s Rally Does Not Deserve Your Trust
Copper has been making the headlines recently after it left the consolidation area it was locked in and jumped to as high as 2.4589 as of today. Usually, when people see that something is rising in price, they rush to buy it. This has never been our way of doing things. In order to put…
Copper Fell As Expected. Now What?
It’s been more than a year. On March 10th, 2014, we published “Copper Measures The Strength of The Economy”. In that forecast we shared our extremely bearish thoughts. While copper was trading at 3.114, the Elliott Wave Principle suggested it might lose another dollar. As the chart below will demonstrate, our price target was near…
Copper measures the strength of the economy
Industrial copper is a leading indicator of the economy’s health and moreover the strength of the world’s industry. The uptrend in copper coincides with the overall uptrend in the world’s industry and economy. This commodity took a hit at the end of 2006, shortly before the start of the 2007 downtrend in all industrial indices and…
