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Patrick Karim, technical analyst at Technical Traders Ltd, observes that copper has not yet broken out relative to the stock market.
He suggests that a bullish era for copper would require the metal to outperform stocks, a development he states is not evident at this time.
Karim has previously pointed to rising capital withdrawals from the mining sector, noting similar price declines across gold and silver miners. He has also argued that future gains for precious metals are possible, citing Dow Jones Index evidence priced in silver in a recent forecast for gold and silver outperformance. These past assessments inform his latest outlook on copper’s performance relative to stocks.