Copper prices have been falling erratically since a pair of top extensions at the beginning of July. More recently, there have been a couple of daily-scale compressions that led to a quick down-move to the lows of the move so far.
Today’s rally has brought prices back up to that compressed level, which represents a ’return movement’ to the compression signal. These returns often present a good opportunity to get into a trend that is already underway, so we advise selling short here (see the userguide for details). If you wish to wait until the end of the day to make sure that prices do not push up through the level of these compressions and so invalidate the sale advice, by all means do so - it could reduce risk. There is also a possibility that prices will quickly fall back on the day and so the chance for selling at a good price would be lost. We would sell now, with a fairly close stop. The chart: