Source: Michael Ballanger 03/14/2024
As the markets witnessed copper prices soaring beyond the $4.00/lb. milestone recently, investors saw Freeport-McMoRan Inc. FCX scaling new heights at $42.50, with the June $40 calls reaching $4.74.
The path to the 52-week high at $44.70 clears the way for a potential surge above $50. Freeport-McMoRan’s extensive copper operations, including the monumental Grasberg mine in Indonesia holding the planet’s largest copper and gold reserves, are indicative of the company’s growth trajectory.
With both copper and gold recently breaking out, FCX emerges as a promising barometer for the anticipated upswing in metal prices throughout 2024.
- Initial resistance observed at $42
- Next targets lie at $44.70 and $50
Forecasts predicting a copper price range of $6-8/lb. by year-end imply a further uptrend for FCX.
Offering key insights into the junior copper sector, Ballanger’s list spotlights:
- Fitzroy Minerals Inc. FTZFF (CA$0.19 / US$0.14)
- American Eagle Gold Corp. AMEGF (CA$0.62 / US$0.46)
- Sprott Junior Copper Miners ETF COPJ (US$19.76)
Copper trading at $4.0393/lb. signifies that escape velocity has indeed been reached!
Important Disclosures:
- Current as of the article date, officers and/or employees of Streetwise Reports LLC (including members of their household) hold securities of Fitzroy Minerals Inc. and American Eagle Gold Corp.
- Michael Ballanger: I, along with my immediate household or family members, hold securities in all mentioned companies. My company maintains a financial relationship with Fitzroy Minerals Inc. Inclusions in this article are based on personal research and sector understanding.
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Michael Ballanger Disclosures
This correspondence carries no assurances regarding the completeness or accuracy of the supplied data. The content within should not be construed as investment advice, implicit or otherwise. Representing personal perspectives, this communication replicates my trading decisions without further implications. Seek guidance from your registered advisor for investment endeavors. I disclaim any liability for losses stemming from the used data. Options and junior mining stocks involve significant risks that may lead to partial or total capital loss, making them suitable solely for experienced and professional investors and traders. Understanding the hazards of junior mining and options trading is vital, and consulting a financial advisor is recommended if these risks are unclear.
