Has Greece been a good economic indicator over the past few years? Most would say NOT!
Could Crude & Copper be sending a more important global message than what happens in Greece?
A year ago a long-term pennant pattern in play with Crude Oil. Once it started heading south a year ago, it fell hard. Crude Oil’s rally took it 23% retracement level and its 200MA line of late at (1) below. See what is happening now!
Crude is breaking below this multi-week pennant pattern after failing to climb above Fibonacci resistance and its 200ma at (1).
Copper has been weak for the past few years, breaking below a support line that has been in place for over a decade.
After breaking below this support line, Copper rallied some of late, hitting the underside of the old support line, which is now resistance. This resistance came into play at the $3 level and now its backed off almost 15%.
If Crude Oil and Copper would happen to continue to head south, these leading indicators could be sending a important message about the marco status of the worlds economies.
Full Disclosure…Premium Members are short Crude Oil, own DTO