That is if you follow moving averages. Demand for copper is what I choose to follow and inflation, inflation looks like it's ticking up. So, it'll be interesting to see what that does with copper pricing. Also, you have to keep an eye on demand out of China because there is talk about more stimulus. And if that's the case, when there's stimulus, the Chinese build housing units, whether they need them or not. So that will help with copper.

Technical Analysis

The $4 level underneath is a massive support level, but we are quite some distance from there, obviously. So, my inclination in this market is to buy the dips. Anything below the $4 level would change a lot, but right now, I think we are going to try to build up the necessary momentum to get to the $4.50 level, and then possibly the $4.70 level.

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With this being said, the market participants out there continue to look at this through the prism of demand. Metals in general are also focusing on inflation, you can see that more prominently in the gold and the silver markets, but it does have an influence over here as well. Therefore, I do think you've got a situation where you're looking to pick up cheap copper for short-term back and forth, kind of up trending trades. I have no interest in getting short as long as we are above the $4 level.

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