Back on Dec. 21 we looked at the charts of Freeport-McMoRan (FCX) and recommended, "If you want some exposure to copper prices without the futures market volatility you could go long FCX at current levels risking to $21. The $35-$40 area is our target."
Shares of FCX touched $39.10 Monday so one Real Money subscriber asked for an update. Let's check.
In this daily bar chart of FCX, below, we can see how the shares have rallied in the past two months. Even with a pullback to our recommended entry level in late January, prices subsequently roared ahead to new heights. The shares are trading above the rising 50-day moving average line and above the rising 200-day moving average line.
Trading volume has increased in the past two months and that is a good sign telling us that more investors are attracted to the stock. The rising On-Balance-Volume (OBV) line is another positive development.
The Moving Average Convergence Divergence (MACD) oscillator crossed to the upside earlier this month for a fresh outright buy signal.