Hexun Information Feng Lushun: What’s the next move for the metals sector?

On May 12th, Feng Lushun from Hexun Information stated that today the non-ferrous metals experienced a volume contraction and adjustment. Many friends asked why CPO is rising every day, semiconductors are rising every day, and when will non-ferrous metals take their turn? Let’s first clarify a logic: the main theme of the entire bull market is technology and resources. Technology needs to develop, and semiconductors, AI, and others all require resources. A tall building starts from the ground up; building artificial intelligence requires resources, so how can resources not rise? Only a small part has risen now, most haven’t yet, and this market trend is about to turn.
By analyzing volume and price, any sector wanting a big surge must first satisfy a large cycle retracement. It’s clear that the large cycle of non-ferrous metals has already fallen into the May and October line zones, indicating a successful large cycle retracement. Next, it must rise back above the May line. Now that it has risen above the May line, it shows the large cycle retracement is complete. The small cycle is also starting to stabilize, with the 5-day moving average crossing above the 10-day, MACD turning red, and the next step is to actively go long.
Non-ferrous metals fell from high levels because there were two major resistance levels earlier, which is the trendline being too high and then bending down. Currently, the trendline has not yet crossed above the 50-day line, so it can continue upward. Every adjustment is an opportunity; this direction is suitable for lurking because the real windfall has not yet arrived.
How to lurk? First, select stocks with a bullish moving average; second, MACD must turn red above the zero line, meaning the yellow-white line stays above zero in a red attack state. Only stocks like this are good.

(Chief Editor: Zhao Yanping HF094)

【Disclaimer】This article only represents the author’s personal views and has nothing to do with Hexun. Hexun’s website remains neutral regarding the statements and opinions in the article and does not provide any explicit or implicit guarantees regarding the accuracy, reliability, or completeness of the content. Readers should only use it as a reference and bear all responsibilities themselves. Email: news_center@staff.hexun.com