Copper and Nickel are grossly oversold. After being short squeezed, the prices were shorted again on the back of Investment Banks calling a global recession.
The Nickel and Copper sell off that started in March 2022 was attuned to two factors. 1. There was a massive short squeeze on the Nickel price via Chinese tycoon Xiang Guangda. 2. The apparent global slow down and demand for Nickel and Copper. However the price of both metals have mostly been shorted more than seen as a indication that the global economy is heading for a recession (which has yet to be officially called). Both are grossly oversold. This could be factored in when investment bank Goldman Sachs went from bullish to very bearish on the Copper price adding fuel to short sellers of metals.
Chart 1 above shows the price rise of electrical car stocks and the heavily suppressed and shorted Nickel and Copper price.
Could tensions between Taiwan and China lead to a bid in technological resources? Such as metals used in chips/electrical vehicle batteries? Refer to Chart 2.
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