Your eyes aren’t playing tricks on you. This chart goes all the way back to mid-2010 when copper prices were double what they are today. The copper bull had even trickled down to the criminal class seven years ago. Opportunistic thieves were snatching up copper wire from construction sites and selling it for scrap. Heck, they were even stealing copper downspouts off historic homes in broad daylight to make a buck.
But there’s no problem an extended bear market can’t solve. As the commodity supercycle started to lose steam in 2011, so did the copper bandits. Spools of copper wire could safely sit overnight at jobsites once again. Back in the trading pits, folks lost interest in the metal as it sank back down near its financial crisis lows.
After copper was left for dead, it took several months of bottoming action for this commodity to build a proper base. Finally, we saw the rumblings of a potential breakout back in October. Fast forward to this year and copper is ditching its downtrend for gains.
Hop on the next leg of the base metals rally while you can…
I’ll be back tomorrow with another red-hot trading opportunity. You won’t want to miss it.
Courtesy: Greg Guenthner