FCX, Freeport-McMoran update

FCX dec 2012FCX june 23 2015

We have had a bearish outlook on copper and with it for quite some time, see our blog of Dec. 2012 (Copper ) shown in part, above left. Today we do not agree with the count then presented but we do with the target of about $10. The drop from the second top in 2011 is a C wave given the very distinct B-wave before that. C waves ALWAYS subdivide in 5 waves so the A-triangle B-C on the left is simple not possible. With a slight adjustment we nevertheless get approximately the same result. Presently we must be in wave 5 which probable will become extended and definitely needs at least one more leg down. The $10 target fits with a number of different parameters the most compelling is that C will equal A and that the stock will hit its long term boundary line. By the way, that corresponds with copper at about $2.20 according to the old blog.