The copper ETF (JJC) broke major support at $54 on heavier than normal volume. Next major support level is $49.
One options play would be a bear-put debit spread. The June $53/$49 is currently trading at a net debit of $1.60 ($2.30 for the June 53 put and $0.70 for the June 49 put). Maximum profit is the difference between the strike prices less the cost of the spread which is $4 – $1.60 = $2.40, giving a maximum ROI of 150%. The JJC chart is below.
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