While the general market has been going through the consolidation phase, I am seeing many metals and commodity stocks breaking up this week, and one of the good examples is the copper.
When I saw the copper breaking out, I went long other metals and miners expecting the similar price action. Copper is also known to be a good economic indicator. This pattern is very similar to AMZN breakout.
Copper Daily
AMZN Weekly (for comp purpose)
FCX Daily
Silver Daily
Silver closed above the previous high on Thursday. No volume confirmation due to the pre-holiday trading. Need a follow through on Monday for a=c pattern confirmation.
Crude oil closed above the previous high on Thursday. No volume confirmation due to the pre-holiday trading. Need a follow through on Monday for a=c pattern confirmation (needless to say, it needs to clear the trendline first).
GDX Daily = Possible Gartley pattern formation
Although GDX is going through a lousy consolidation, GDX is possibly forming a bearish Gartley pattern. Waiting for the confirmation to close above the previous swing high.
Gold Daily
Gold is going through the consolidation with a possible IH&S pattern (it's not clean). Waiting for the confirmation to close above the previous swing high for a=c pattern.
FXI Daily
EEM Daily
EUR/USD Daily
EUR/USD did not follow through to the downside and came back up to the "rectangular pattern" trading range. I came up with two different scenarios for this pair – Gartley or IH&S patterns.
This pair is going to be the key for the commodity play next week. If the Fed decided to increase the discount rate and the EUR/USD pair resumes to the downside, then, all of the above charts could just be a "fake out", so I will be watching this pair very closely next week.
EUR/USD 4 hour chart – possible IH&S pattern if the current uptrend channel holds.
EUR/USD 4 hour chart – possible Gartley pattern formation if the uptrend channel is being broken.
ES Futures
