See our Ginger Group Forecasts of 27 November for more thoughts on Copper, but here are the updated levels we are watching for 2020. Final numbers will be issued on the 31st of December.
Copper in recent days has made a run to the level at which we stated selling would resume: 2.82. The selling has not thus far proven aggressive, so if buyers prove capable of pushing to 2.90 in 2020, digging their way through congestion from 3.04 to 2.90, moves to 3.26, 3.36 and higher are possible.
We will remain skeptical until we get a breakout above 3.04, as the copper cycle remains down, and bullish trades have been of the counter-trend type. As the cycle is down, this makes copper vulnerable to a general market selloff.
Our exposure to copper is through Solaris and Taseko Mines.