Comex Copper = Explosive Nifty to Unfold in 2024 ?

COMEX_DL:HG1!   Copper Futures
Trading in financial markets involves substantial risks. Consult your financial advisor before making decisions. This commentary is not a solicitation to buy or sell.

WaveTalks - Market Whispers: Can you hear them?

Copper Outlook

1. Setting the Stage for Explosive Moves:
- Copper is recognized as a barometer of economic growth, and its performance can provide insights into broader market movements.
- In January 2023, I predicted copper would see explosive growth in 2023-2024. This was confirmed in November 2023 when the corrective wave 2 completed in a truncated wedge pattern, providing a strong foundation for significant gains.

Comex Copper in Nov 2023 ( Explosive Wave to Unfold Next?)

2. Rising Demand:
- Copper cathode demand reached 598,000 tonnes (81.2% of the previous year's total) by November 2023.
- Imports of copper cathode, scrap, and wire rods soared by 174%, 56%, and 13% year-on-year, respectively.
- This robust demand hints at double-digit growth in FY24. The Indian government's focus on infrastructure, clean energy, and consumer spending is expected to sustain this growth.

3. Production Challenges and Future Solutions:
- India's smelting capacity was halved due to facility closures, turning the nation from a net exporter to a significant importer.
- The upcoming Adani smelter (5 lakh tonnes capacity) and potential reopening of the Sterlite smelter in 2024 could help India reclaim its status as a net copper exporter.

Nifty / BankNifty Outlook

1. Explosive Moves Expected:
- The Nifty index started forming a well know rising pattern around the 18,800-19,000 zone in October to November 2023, suggesting a significant move ahead. This famous pattern was rising wedge.
- This pattern was debated on WaveTalks as either an ending or leading diagonal, offering different implications for future market moves.

2. Elliott Wave Analysis Insights:
- Applying Elliott Wave Analysis gave clarity to potential market paths, allowing for strategic decisions at tops and bottoms.
- As patterns unfolded as expected for Copper, the market outlook became increasingly clear for equities as Copper is a barometer of economic growth.

3. Conclusion:
- The Indian equity markets, particularly Nifty and BankNifty, appear set for more explosive moves.
- Time will reveal how far the markets can go, but the whispers of the market suggest significant growth ahead.

Signing off from WaveTalks: Market Whispers! Can you hear them?

From WaveTalks

Best Regards,
Abhishek H. Singh
​Growth Director - TradingView India

YouTube Channel www.youtube.com/channel/UCYcnYveYBNLD-Qp54hvZogw

Twitter Handle

Telegram Handle

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.