Wednesday, March 4, 2009

Wednesday Commodity Round-Up

The main issue with copper is prices are near their lowest levels in three years. However, also note the 20 and 50 day SMAs are moving lower. However, the 10 day SMA has turned neutral. In addition, prices and the SMAs are tied-up, indicating a lack of overall direction.

Aluminum is in a classic bear market pattern. Prices are below all the SMAs, the shorter SMAs are below the longer SMAs and all the SMAs are moving lower. In addition, prices have been in a downtrend since last summer.

Silver benefitted from the recent rally in gold. Prices fell starting last summer but bottomed in the first part of the fourth quarter and have since been moving higher. However, notice that prices have run into resistance at the 50 day SMA recently.