Copper made 5 week highs today. Which is probably why the mining stocks started to accelerate. Copper is called Dr. Copper because of its ability to forecast economic turns. I like seeing a 2 week high on sensitive stuff like copper. This huge breakout is big news to me.
Notice my big blue arrow showing Copper jumping up and closing above both the 10 week and 40 week MA. TCK, FCX and BHP have all broken the down trend. RIO and VALE are pressing the line. Breakouts on both would signify a sector change. I also noticed there was major insitutional buying starting to show up in the mining sector.
Bears should start to hibernate if this starts to run.
Good Trading,
Greg Schnell, CMT