Copper: Getting Ready to LongAfter the amazing bullish run late last year Copper has been consolidating. I am now getting ready for the possibility that the correction is soon to be completed and looking for long set-ups.
This wave count is by no means an expert wave count or meant to be exact but conveys my idea that there was a motive wave followed by a three wave correction (labeled (A)-(B)-(C) in the parallel channel (flag?)) that may be close to completing.
My two areas of interest are:
~2.45 -- in this area Wave (A) = Wave (C). It is also the .5 retracement of the impulsive leg in copper which started in October, and may coincide with the bottom of the channel/flag
~2.38 -- in this are Wave (C) = 1.272 * Wave (A), and is also the .618 reatracement of the impulsive leg from October as well as the .5 retracement from last year's low to this year's high. A further drop to this level may also allow RSI to drop into oversold which would be a more ideal situation.
My plan is to continue my recent strategy by trying to enter with very small risk upon a bullish candle on the small time frame once Copper reaches this zone, and move stops to breakeven after I am up a few pips (see my linked idea on the Canadian Dollar for more details about this strategy).
If you have any comments or feedback on this idea or your own view on Copper please share! Best of luck in your trades.
