Since 1980 copper has made some very violent moves which are pretty common in the commodities world. This has been true since the Little Ice Age bottom which I count as wave 2 in Supercycle degree. The little ice age ended in the early 1800s and “Global Warming” started to take hold as the solar cycles picked up in sunspot activity.
In 2000 solar cycle 23 peak turned copper upside down and send it soaring until the first 2011 peak of solar cycle 24. In early 2011 copper prices imploded once again which produced a pattern that needs more time to play out.
The commercials are net long but not by that much so flipping a coin on short term direction may work just as well. The early 2016 bottom produced what looks like a 5 wave impulse, but when you look at it with a daily chart they can count as a diagonal set of 5 waves.
Short term copper can produce more downside movement, but the electric car “Mania” has produce copper demand to a point where an electric car needs large amounts of copper to run. 1-2 Decades into the future I’m sure electric cars will go into the crushers and recycle all that copper they have been using.
There are no daily trading limits on most commodities so it is one of the main reasons why copper can make such extreme moves!
I think the impending start to solar cycle 25 could push copper prices to the upside which may still be 1-2 years away.
The link above shows that copper is called an “Energy Metal” as well, so copper is required for everything “Green”. Electric Fracking technology is coming so that alone can also increase the demand for copper.