Freeport-McMoRan Inc. (FCX) is a key copper producer that appears to have finished a major correction, indicating the start of a positive trend according to Elliott Wave analysis. This is supported by rising global demand for copper and strong market momentum. In the past, FCX’s substantial climb began at a low of $3.38 in 2000, reaching its first peak in 2008. The financial crisis led to a sharp decline, creating a second wave. FCX then rebounded energetically, peaking around $61.34 in early 2022, ending a higher wave. The decrease from 2022 to 2025 followed a corrective pattern, reaching a low near $30 and completing the second wave. The recent rebound indicates the start of wave 3 of wave III, which is often the strongest phase of the Elliott Wave cycle. The positive outlook stays intact as long as FCX remains above $3.52, the low point of 2016 where the second wave ended. Long-term copper demand is driven by electrification and renewable energy projects. If momentum keeps up, wave 3 could go beyond the $60-$65 range in the coming years. Overall, FCX is set to gain from the growing copper market while staying above the $3.52 support level. This analysis suggests that FCX has finished its long correction and is now entering a powerful upward trend. The recent bounce back from the lows near $30 in early 2025 marks the beginning of a major rally. For traders focused on derivatives, this shift indicates a move toward bullish strategies in the coming weeks. With the potential for a strong upward movement, buying call options expiring in a few months, like December 2025 or January 2026, could provide leveraged exposure to this anticipated rise. This aligns with the idea that the strongest part of the Elliott Wave cycle has just begun. This bullish feeling is further supported by recent news from the International Energy Agency, which upgraded its five-year copper demand forecast last month, noting faster-than-expected grid modernization in North America and Asia. Additionally, we can examine historical patterns, like the strong recovery following the 2008 and 2016 lows, which led to significant long-term rallies. The current trend resembles those past setups, suggesting a similar outcome is likely. Recent data shows that copper inventories in LME warehouses have dropped to their lowest levels since 2023, adding a fundamental supply squeeze to the bullish outlook. For more cautious traders, selling cash-secured puts below the recent 2025 low of around $30 may be a suitable strategy. This allows for earning premiums while having a clear entry point if the stock retreats. The long-term invalidation point remains well below at $3.52, providing considerable room for the current bullish trend to grow.

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