Checking Back in With Copper

Back on Feb. 14th I wrote about the bearish setup taking place in copper. Since then we have seen copper fall a little over 7%.

This has taken us to a longer-term rising trend line going back to October ’11. The more times this trend line gets tested the weaker it likely becomes, so with the global markets recently taking a ‘risk off’ posture it might be just what copper bears need to finally break below and test the previous low of $3.40. Those hoping for lower copper prices must also contend with the 200-week moving average (not shown) which sits at $3.52.

copper
Disclaimer: Do not construe anything written in this post or this blog in its entirety as a recommendation, research, or an offer to buy or sell any securities. Everything in this post is meant for educational and entertainment purposes only. I or my affiliates may hold positions in securities mentioned in the blog. Please see my Disclosure page for full disclaimer. Connect with Andrew on Google+.

About Andrew Thrasher, CMT

Andrew Thrasher, CMT is a Portfolio Manager for Financial Enhancement Group, LLC, an asset management firm in Central Indiana and founder of Thrasher Analytics, an independent financial market research firm. He specializes in technical analysis as well as macro economic developments.