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 an asset management firm in Central Indiana. He specializes and writes about technical analysis as well as macro economic developments.