High Reward Low Risk JJC/Copper Short
This is an update to my JJC post last week.
Since then the pattern has completed and turned down in the forecasted Fibonacci . There are clear and divergences. The Commitment of Traders report for Copper still has Commercials with a very high net short position.
If the wave count is correct JJC should not trade above its recent high of 31.27 use 31.28 as a stop loss.
There's still time to jump on board the profit train. If you short near the closing price made on 12/2/16 of 30.29 the risk is only 3.2%.
If wave (4) is complete the minimum downside target is 22.04 which would represent a 27.2% profit from 30.29.
The reward/risk ratio is 8.4 to 1.
This trade is about as good as any you could find.