$COPPER (copper continuous futures contract) looks poised for a pullback off this overbought rally into resistance with negative divergences in place on the daily time frame while JJC (copper ETF) appears likely to break down below this 60-minute bearish rising wedge soon with a drop of at least 6% from current levels. I am considering adding JJC as an official trade idea although I plan to go through the charts of the mining companies with copper representing a fair amount of their production to see if those charts confirm or not & if so, find any attractive trading opportunities in the [...]
I had a request from member @vim2 for an update on copper. Here's my 10 year weekly chart of $COPPER (spot copper prices). Copper has been gradually moving higher since putting in a divergent low around the beginning of the year & breaking out above this bullish falling wedge pattern shortly afterwards. Prices are currently up against a minor downtrend line (R1) which a move up to the R2 level (2.44ish) quite likely if R1 is taken out. Should copper fail to take out the downtrend line resistance at this time, look for any pullbacks to be contained at either S1 [...]
This video makes a case for a trend reversal & near-term rally in the US Dollar along with a near-term bearish case for gold, silver, platinum, copper and other dollar sensitive assets, all of which still appear bullish from a longer-term perspective at this time (longer-term bearish $USD).
JJC (Copper ETF) has hit the first target (28.70) for a quick 4% gain, printing a high of 28.83 so far today before pulling back a bit. Consider booking partial or full profits and/or raising stops, depending on your trading plan. T3 (31.44) remains the final target at this time although additional targets may be added, depending on how the charts on both copper & the $USD develop going forward. JJC daily Sept 8th
JJC (copper ETF) along with copper futures, has broken above the downtrend line & will be added as an Active Long Trade at current levels. note: An additional price target has been added (T1 at 28.70) with the previous targets re-sequenced as T2 & T3. On August 12th, JJC was added as a Long Setup with the official entry to be based on a close above this trendline, as I believed the odds for a fake-out (failed breakout) were elevated at that time, had JJC managed to make an intraday breakout back then. Upon further review of the charts, [...]
JJC (Copper ETF) will trigger a long entry on a CLOSE above this steep downtrend line. Stops TBD based upon entry price. Although one could certainly establish a starter position on an intraday break above the downtrend line or even here as spot copper prices are at long-term support on the weekly chart, with the amount of false breakouts & whipsaw signals lately, it might be best to wait to see JJC print a solid close above this steep downtrend line before establishing a full position. JJC daily Aug 12th As with any trade, this one may or may [...]
I just wanted to highlight a few commodities that look interesting here, all of which were discussed under separate posts within the last month or so. The first chart below is KOL (Market Vectors Coal ETF). KOL is currently an Active Trade but may soon offer another objective entry or add-on to an existing position on a break above the previously highlighted resistance level, which also comes in around the 200 day