I came across this article below published by Author Clive Maund on Kitco, that Dr.Copper, Crude Oil WTI, Baltic Dry Index (BDI) and China A50 index weakness would result in continue to call for Market crash soon.
I decide to chart Dr. Copper to analyse the current trends of Dr. Copper Price, My conclusion is we are still in a long term bull market will not enter any recession caused by Covid 19 - Coronavirus which will cause temporary economic activity strain on global economies where Industries like, shipping, logistics, retail & food & beverage, tourism, transportation are badly affected by 'fear". Consumer afraid of contracting coronavirus avoid large congregation of human traffic, Global supply chain are badly hit short term due to China cities are in a lockdown restricting human flow to stem contagion of coronavirus from spreading, Hence Baltic Dry Index (BDI) has clearly reflected in its current index fluctuations, BDI reached 2518 points in 4 September 2019 has seen crashed all the way down to 411 points in 10 February 2020. Phase 1 trade deal was signed on 15 January 2020
https://www.reuters.com/article/us-usa-trade-china-details-factbox/whats-in-the-u-s-china-phase-1-trade-deal-idUSKBN1ZE2IF
https://www.facebook.com/598617065/posts/10157134631957066/?d=n
Monthly Chart
Dr. Copper Technical Chart Analysis was observed price of futures is consolidating in a price channel trend line supported by classical neckline resistance turn support.
Dr. Copper price is going to reverse its downward trend at the moment with most mainstream media overhype the fear of financial markets about to collapse with the outbreak of Black Swan Coronavirus which has an impact on the growth of second largest economy, China. The current PMI reading register a reading of 40.3
From Technicals perspective, swing trade setup for Dr. Copper with a price target of 4 USD price level in anticipation.
https://www.cnbc.com/2020/02/29/china-pmi-factory-activity-shrank-at-fastest-rate-on-record-in-february.html
https://www.cnbc.com/2020/03/02/china-economy-caixinmarkit-february-manufacturing-pmi-amid-coronavirus.html
Disclaimer: All news, information and charts shared is purely by my research and personal views only. This is not a trading recommendation or advice but on the basis of sharing information and educating the investment community. Different traders and investors adopt different trading strategies and risk management approach hence if in doubt please approach or seek clarifications with your Financial Adviser, Broker and Banker.
Ways & Works Consulting is an ISO 9001:2015 certified HR Consulting Firm, Manpower Recruitment and Practical Training firm career with an aim to provide value aided service to employersTop Manpower Recruitement company in india . with an in-depth understanding of their requirements. We are working as a perfect bridge between the employer and employee to fulfil their needs by placing the best suitable at place.
ReplyDelete