Here’s what noted metals analyst and EW author John Gross had to say about the recent action in the metals market:
“Last week we were lamenting the inexplicable 14¢ freefall in copper on December 5, but Big Red recovered that loss, and then some. Indeed, spot copper rose each of the eight subsequent trading since then for a total of 18.95¢, and propelling it back over the $3.00 level.
"Further, with the exception of tin, all other metals rose last week, with palladium in particular, reaching new heights. Interestingly, in the nonferrous family, all members are holding their nearby support lines, but here too, tin looks to be teetering on the brink of falling through.
"Within the precious clan, it’s a mixed picture with silver trading in a wide $2.60 range since July; gold is still below its rising channel, and platinum is nervously sitting on the edge. Palladium, however, is a sight to behold, as it closed at a $140 premium to platinum on Friday; is up 50% this year; and has risen almost $550 from its low of $482 in February 2016, for a 113% increase since then.
"The one disappointment over the past few weeks is natural gas. After moving sideways for several months, natural gas broke through resistance, thereby setting the stage for further gains. But alas, it was not to be, as the price failed to follow through, and instead fell sharply, closing right on the $2.61 line of support. At this point, other than the remote possibility of a ‘Hail Mary Pass,’ natural gas will be the loss leader for 2017."