Back in June 2017, we published our first note on LME Cooper, arguing that therewere no compelling reasons to expect a correction to the downside going forward(Copper: A tale of two forces).    Indeed, base metals showed a very strong performance since then, with 3-monthLME Copper going up 25% and reaching the highest value since 2014.    While our model continues to point to an upward trend for copper prices in thecoming months, it also suggests that in the short-term the appreciation pace mighthave been too fast.    Our factor model indicates a ~10% dislocation between current market prices andthe fair value for 3-month LME copper.    Strategy: go short 3mo LME Copper (LMCADS03) at USD 7,071; Allocation: USD5.3mn equivalent (30 contracts); Initial target: 6,300; Dynamic stop loss starting at:USD 7,600/MT.    Caveat: technicals are not fully supportive for this trade. According to our lastreport, positioning and stocks in copper do not show evidence of a strong imminentprice correction.

声明：如本站内容不慎侵犯了您的权益，请联系邮箱：wangshiyuan@epins.cn 我们将迅速删除。