Will put in an order to buy one copper at $3.61 with a five cent trailing stop; will also put in an order to sell one copper at $3.25, again with a five cent stop. I have a very hard time believing copper is at these high levels, especially given that new housing starts continue to tank and the USD is slowly rising in value. Nevertheless, the clear direction is up; if it breaks resistance at $3.61 we might even see $4.00 soon enough.. don't ask me how or why.. mostly I simply refuse to believe that all is well with the economy and that the recovery has arrived.
Sorry have not posted in a while; the holidays were long, this winter is a bad one, and my niece was in a car accident and so time has been hard to come by, but going forward I should be much better about tending to the blog.
I'm a young whippersnapper, so what do I know?
ReplyDeleteMy thought on copper is that it is going to go a lot higher. Think $4 as a floor, not a ceiling. Brazil, China, Russia, and India are not going to be held back by lack of resources.
I own stock in five mining companies that mine copper as a sideline business.
My idea is that new housing construction, which uses a lot of copper, is tanking (badly) and the USD should be strengthening, both of which should be bearish. That said, world demand.. especially in growing nations, could overwhelm the bears. It's why I'm a buyer above $3.61. My guess.. rangebound for a while around $3.40ish
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