![]() In a recent research report, Goldman Sachs analysts wrote, " The critical role copper will play in achieving the Paris climate goals cannot be overstated." The report's title is " Copper Is the New Oil," a statement on the base metal's rising profile in the world financial system.Ĭopper is a primary component in systems that create wind, solar and geothermal energy. LME forwards were at the $9,370 level recently. The chart of three-month copper forwards on the London Metals Exchange shows that the red metal traded to a high of $9,562.50 in February, with the 2011 high at $10,123 per metric ton. The quarterly chart shows the next upside target stands at the 2011 peak at $4.6495 per pound, only 27.4 cents above the recent 2021 high. Quarterly historical volatility at just below the 26% level is near the highest reading since 2013. Quarterly price momentum and relative strength indicators are rising in a bullish trend. With rising open interest along with an increase in the copper spot price is a good indicator for a technical validation of a bullish trend in a futures market. Open interest has increased steadily over the past years. Open interest, the total number of open long and short positions in the COMEX copper futures market, is steady at the 248,000 level. A close above $3.9830 on June 30 would mark the fifth straight quarter of higher prices. The long-term quarterly chart illustrates the red metal has posted four consecutive quarterly gains. ![]() The chart shows that since the March 4 low, COMEX copper futures have made higher lows and higher highs and were back over the $4.50 per pound level at the end of April. ![]() The over 12% decline was significant, but it did not negate the bullish trend since March 2020, when the continuous contract price reached a bottom at $2.0595 per pound. The target above the 2021 high is the 2011 peakĪfter reaching a high of $4.3755 per pound on the active month May COMEX futures contract on February 25, copper corrected to a low of $3.8490 on March 4. Nevada Copper's shares are worth a look as the red metal is moving higher in the most significant bull market in over a decade, and Nevada is a safe, growth area for copper production. However, since the reward is a function of risk, payoffs can be massive for successful companies. On the Toronto Stock Exchange (TSX), the company's symbol is NCU.Įxploration companies carry a high risk for investors. on the over-the-counter market under the symbol NEVDF. Nevada Copper Corporation trades in the U.S. Nevada Copper holds a 100% interest in the Pumpkin Hollow property in Nevada, with the company's headquarters nearby in Reno, Nevada. (NCU:TSX NEVDF:OTC) has a substantial footprint in the state as it explores for copper, gold and silver. One area that offers a friendly jurisdiction and exciting reserves is the state of Nevada, and Nevada Copper Corp. Producers are scouring the world for new reserves and production. Rising demand with supplies not keeping pace is fueling the copper bull. LME three-month copper forwards fell to a low of $4,626.50 per ton. Thirteen months ago, copper found a bottom at more than half the current price when it reached $2.0595 per pound on the nearby COMEX copper futures contract. After correcting to $3.9435 in late March, copper bounced toward the high in a continuation of the bullish trend that has been in place since March 2020. The trend is your friend in markets-It is rising in copper and Nevada Copper shares-They still show increased value potentialĪt the start of May, copper remained near a 10-year high of $4.50/lb.Nevada is a friendly state with lots of reserves.Goldman Sachs says copper is the new oil.The target above the 2021 high is the 2011 peak.
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