Copper Finally Pulls Back
Copper has been in rallying mode since December 15, 2011. At that time, the iPath Dow Jones Copper Subindex Total return ETN (NYSEARCA:JJC) was trading as low as $42.64 a share. This morning, the JJC is trading lower by 0.57 cents to $48.56 a share. Short term traders can watch for intra-day support around the $48.40, and $47.85 levels.
Southern Copper Corp (NYSE:SCCO), and Freeport McMoRan Copper & Gold Inc (NYSE:FCX) are also two leading copper producers that are declining lower with the industrial metal. SCCO stock will have intra-day bounce support around the $35.00, and $34.25 levels. FCX stock will have intra-day support around the $43.00, and $42.50 levels. It is important to note that copper and the copper stocks will usually trade inverse to the U.S. Dollar Index.