Shares of copper miner Freeport-McMoRan (FCX) are struggling this month, as the red metal’s prices suffer amid weakening trade data from China. Though last seen up 0.4% at $42.85, FCX has shed more than 4% already in August. If past is precedent, this pullback could offer an intriguing buying opportunity, thanks to a historically bullish trendline.
According to data from Schaeffer’s Senior Quantitative Analyst Rocky White, FreePort-McMoRan stock just came within one standard deviation of its 50-day moving average. Per White, seven other similar pullbacks have occurred over the past three years. One month after 71% of these signals, FCX notched positive returns, averaging a 10% pop. A similar move would put the shares at a level not seen since April 2022.
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