COPPER Weekly and Daily Charts Sideways Symmetrical Triangle

Copper is the big story this morning that no one is talking about. Copper is down almost 2% today the weakness started appearing on Sunday evening. Keystone's algorithm, Keybot the Quant, is fixated on copper and utilities as the two main drivers of market direction currently so the copper weakness is a very important development. The red dots show price at 369 at this writing.  The daily chart shows the red upward-sloping channel, where price is now at the lower rail and will either bounce, or die. Note the Golden Cross in October where the 50 crossed above the 200 MA but the move is weak. Price is higher than when the cross occurred but look at how price was lower for six weeks after the golden cross occurred. That is why you take the Golden Crosses and Death Crosses (50 falling under the 200 MA) with a grain of salt, they are at best a most basic technical indicator. The purple negative divergence spanked price lower in recent days to set up the test of the 20-day MA at 3.724, which failed this morning. Note the indicators showing a preference for a sideways move forward.

The weekly chart shows the saga of the sideways symmetrical triangle continuing, the band plays on.  Time is running out, however, and price has to make and up or down decision. The 20-week MA sneaks back above the 50-day MA which helps the bulls but overall note the sideways moving averages, as well as price, and the indicators. Watch to see if copper falls back below 3.69-ish to return to the apex of the triangle. The tension mounts. Whichever way copper goes, so goes the equity markets. Dr. Copper is the leader.  Copper topped in early September and the broader market topped days and a couple weeks later. Copper bottomed in early November and the broader market bottomed in mid-November.  Copper topped to begin February and the broader markets...........? The charts are not tipping their hand, the projection is sideways to sideways down moving forward. To add to the drama, Keybot is tracking the 3.69 level, where copper is now printing, as a bull-bear line in the sand, thus, any lower and the copper weakness will create broad market selling. Follow JJC in real-time today. Use the 46.50 level as a bull-bear line where market trouble begins if it fails. At this writing, JJC will fail 46.50 at the opening bell. Watch to see if JJC stays under today, or recovers. The broad indexes will move accordingly. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.