Precious metals have been on an absolute tear this year.
Gold is stair-stepping to new all-time highs, and silver recently shattered through resistance to levels we haven't seen in over a decade.
But it's not just about precious metals anymore. Industrial metals are also showing signs of life, and copper may be the one to watch.
This overlay chart of gold and copper futures going back to the 90s shows a similar path for both metals.
Gold tends to lead, and when the shiny metal moves, copper tends to follow.
I think a major catch-up trade is brewing here, and copper can kick it off with a move above $5.
Here’s a zoomed-in look:
Copper prices are pressing against a historical resistance level.
Like gold before it, copper has been consolidating in this range for years. It feels like it's only a matter of time before it makes a decisive breakout.
The 2011 highs are the line in the sand. If and when it breaks above this area, we should expect Dr. Copper follows gold in a big way.
With industrial metals gearing up for their turn, it might be time for copper to outshine gold.
The ongoing bull run in metals looks strong, and on Thursday at 4:00 pm ET., the ASC Gold Rush Team will be going live to share our latest insights on Precious Metals.
