The Checklist
Before you hit “buy” on your broker app, check these:
- LME Inventories: Are they dropping? (Bullish)
- Chilean Production Data: Is Codelco missing targets again? (Bullish)
- US Dollar Index (DXY): Is it falling below 100? (Bullish)
- China PMI: Is manufacturing expanding (>50)? (Bullish)
- Oil Price: High oil makes mining more expensive (raises the price floor).
- Copper/Gold Ratio: Is it turning up? Signals economic expansion.
- Treatment Charges (TCs): Are smelters paying less for ore? Signals ore shortage.
- CFTC Positioning: Are speculators overly long? (Contrarian Bearish signal).
Analysis by Technical Analyst