The price of copper exploded, yesterday, in the futures market on a massive volume spike. The WSJ had a big article about how copper is going up, before the opening bell, saying that the United States government now sees the US lack of copper production as a national security threat. It said the Biden administration is trying to help make a copper deal happen in Africa, but the whole point of the article is to suggest that there is a copper shortage that - in their words - is now making the world “cuckoo” for copper.

I guess this story drove people to pile in, even though, in reality it had been going up for months, and I talked about copper back in March, when I bought and wrote about buying the BCIM ETF.

I still own it and consider it a long-term position for me.

I’m not a daytrader.

I wouldn’t be shocked, though, if there isn’t a pause now in copper prices, with that article coming out. A few big cap copper stocks also had down days, so there was profit taking in them.

It’s no big deal if there is pause in the underlying stage two bull move, I’m not selling.

Meanwhile, the masses of small traders piled into AMC and GME, yesterday, as they were both among the top traded stocks on Fidelity, according to a screen shot someone sent me.

There is no need to chase anything going up.

Instead, look for pauses and pull backs as entry points, in things you believe in.

We got one in gold/silver and other metals back in March and another one the first half of this month for them too.

My goal is find good trade setups for you.

Copper is getting attention, though, with the BHP bid on Anglo American.

And…..

Have the trading masses learned anything?

AMC and GME were disaster trades for anyone who bought into the height of their mania two years ago.

The companies earnings are still crap and yet here we go again.

“MEME” stocks = “CRAP” stocks, but even poop can float for awhile.

It’s like crypto - things you can’t really buy and hold as there is nothing stable in fundamentals to believe in.

I’m happy for anyone who bought early in Gamestop and made money, but that type of chasing action is not for me.

I think their real problem is they never developed a good trading strategy.

They need to read my book Strategic Stock Trading.

-Mike Swanson