Loading ...Copper Breakout – Hugely Important Year Ahead
I’ve posted the copper chart a few times, most recently after identifying a bullish wedge coming up against the support offered by the round basing formation. The only way (if the pattern was to hold) is up. Fast forward to yesterday…
If price fails to break the $3 area, we’re looking at a strong case for more commodity deflation. If, however, we see a move above $3, I can’t see how anyone could argue against the case for inflating commodity prices. My recent posts of the Bloomberg Commodity Index support the case for a possible turn and move upwards here.
The importance of the outcome cannot be over-stated. It’ll shape the way the markets move for years to come. What’s it to be ? Inflation ? deflation ? stagflation ? Choose your flation, but, one way or the other, we’re going to find out in 2020.
NorthStar, have you noticed the bowls to work best on higher time frames? ie.. less breaks.. more respect of boundary and successful resolutions? I’m gonna start adding them to my repertoire
I’m still experimenting Patrick. The cup and handle pattern is well known. The more I look, the more I see these on all timescales. The ones which form at cyclical lows over many years should be much more reliable. Two other things I’ve noticed…the bowl can be ’tilted’, also there are complex chart formations within the bowl, and the best ones come on the right hand side of the bowl, in the form of bullish wedges and triangles which terminate up against the side of the bowl. This is evident in gold, copper and many other charts right now.