Chart of the Day - Friday, August 2nd 2019

Today’s Chart of the Day was shared on Twitter by Tarek Saab (@FibLines). It is a weekly chart of Copper futures over the past 20 years. Tarek points out that Copper is in danger of breaking down from both the 200-week moving average, as well as a long-term trendline. Copper is an important industrial metal used in construction, electrical equipment, machinery and more. Because of its numerous industrial applications, it can serve as a barometer for global growth and risk appetite. It’s often said that the metal has a Ph.D. in Economics and is often referred to by traders as Doctor Copper for its ability to forecast inflection points in global growth. If Copper continues to breakdown it could be an early warning sign that global growth is beginning to stall.