Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX) Slams Into 50ma Daily...Does It Pullback?

|Includes: Freeport-McMoRan Inc. (FCX), X

Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX) slammed into the 50 moving average on the daily chart today as the dollar gapped higher and then fell sharply back to the flat line.  FCX has been on a wild ride of late in 2010.  The stock started 2010 by rallying to a new 52 week high in early January.  It hit $90.55 on January 11th, 2010.  After making that high, FCX fell hard, dropping all the way to the 200 moving average on the daily chart.

As this drop was going on, the dollar was ripping higher and the markets were collapsing.  That has all changed.  In the last two weeks, the markets have bottomed and started to move higher.  FCX made a beautiful double bottom on the 200ma on February 5th, 2010 as the stock hit a low of $66.03.  Since then, the stock has soared, including today, hitting a high of $77.88.  This level just so happens to be into a major moving average.  Namely the 50.

After such a dramatic bounce and hitting the 50ma, this stock should see a short term pullback.  Look for a retrace back to the $73.00 level as a possible retrace.  Live, Learn, Profit!

Gareth Soloway
Chief Market Strategist