Jun 9

Copper bull market ahead?

After February 2015 I believe that Copper saw a major low – both as it was very oversold on most longer term timeframes but here it is:

1. Going forward I expect that 2015 was a major low , as we hit the trendline from the 2000-2002 lows.

2. We have a 20 month cycle low on copper especially and as Copper was the first commodity to top out in 2011 I also expect it has been the first commodity to bottom now here in 2015. So far so good and copper has been rallying since February 2015 and is still intact.

3. If cycle is true we should see a rally into late 2016 on Copper or next 12-20 months or so to upside.

4. I expect other commodities to bottom out with copper and this is why I think whole commotity stocks and sector should outperform by far SPX.

So all in all I love copper plays here and commodity plays like VALE, FCX , CRR and other large commodity names- find your favourite ones.


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