Copper Bounces

My copper calls are doing very well after HG popped more than 4 percent. Up more than 150 percent from where I bought on Monday. I didn't expect it would pop this quickly, but do expect some further rise.

Maybe a Bounce for Copper

SCCO at support.

Here's HG:

Stretched Tops

This is a one-year top in copper overlaid with a roughly three-month top in crude oil. Two of the most sensitive industrial commodities, and I believe copper is showing the way.

All Major Indexes at Intermediate Resistance

Copper is free fallin'

All Except the Yen is Happening as I Have Foreseen

I see a big drop in crude, a nice big base in ZB and NQ, with the NQ rally taking time as I anticipated. Copper broke down. The only holdout is the yen, but if U.S. bonds start rallying, the pressure on the yen and JGBs will lift. Will have to see how things play out, but I'm inclined to buy the dip in stocks this morning.

Gold-Copper Breakout

My experience these breakouts are often fadable when they occur, but the larger trend is in play. I anticipate a major decline in copper. I will be watching closely though, because I do think copper and oil could diverge here, with nothing more than small bounce before tumbling.

Copper Tops

The 2011 top in back was seven months long into September 2011. The current top in in month 13 after peaking in May 2021. They have a similar structure and will eventually resolve the same way wit ha break of support. How soon depends on how quickly deflation hits, but the drop in oil suggests it could be fairly soon.