 Good day, fellow investors. Today, I want to discuss how things quickly change in the investing environment and show you the example of copper and how you can take advantage of the volatility in financial markets, especially investing markets. I have been writing about the imminent supply gap in copper for about a year and a half now. You can find the link below in the description. Nevertheless, when I look at what the investing environment thought about copper a year and a half ago and what it thinks now, those are two opposite words. Here are just two headlines from Behrens, like Credit Suisse said, copper prices will slip below $2 in 2019. Who Goldman Sachs was saying in 2015, copper prices will stay lower for longer. This was due to apparent oversupply, expected slower economic growth in China, slower demand and a lot of temporary negative impacts on the copper environment, a lot of shorts coming in, four years of declining prices and everybody was very, very scared to invest in copper. Therefore, copper prices went under $2 per pound. However, you can see here how copper prices stayed around $2 per pound, $2.24 about a year from October 2015 to October November 2016 and since then they have spiked to the current 3.08, which is an excellent price for copper. Now, not surprisingly, the news is opposite, is very positive. Goldman Sachs is now backing a copper boom in 2017, copper prices to trade higher from angel commodities, then copper price forecast for Jules tries to increase global deficits. Now from oversupply, we are already discussing deficits. So this is how the investing environment works. When something goes down, everybody looks at the past trend and forecasts the trend to go even lower. When something goes up, everybody looks at the past trend going up and forecasts it to go higher. What to do? Well, there are few things you can do and take advantage of those swings and trends. The first thing to do is to know that nothing in investing is permanent. Everything changes, everything evolves, something short-term, something in the very long-term. But nothing, nothing is permanent. When you know that, you can easily assess what's going on and with the factors we'll discuss now, you can take advantage of that. The two things that can help you in determining whether prices of a commodity like copper are too high or too low are A, costs, in this case mining costs for copper, for something else it can be production costs, because when the price of the commodity is low, it doesn't pay to produce and that's what you can take advantage of. And general mining costs or production costs are pretty known. You can easily assess them and see, okay, we are now close to a bottom, like it was the case for copper. If we look at copper cash costs, in this case the global copper production curve, you can see that most of the copper production has cash costs between 0.8 and 1.5 dollars per pound. When you add the exploration costs, the debt burden, the risks of producing, you can quickly see that to be profitable the miners need at least the copper price of 2.5 dollars to 3 dollars. This means that in the short-term copper prices can fall below 2 dollars, but long-term balance is definitely above 3 dollars, 2.5 dollars per share. If there is a deficit given the cyclicality of copper, it is easy that we can see 4 dollars per pound. The second thing to look at are long-term demand trends. If there is expected to be more demand for a commodity, then there will be a positive impact in the long-term and also supply. For example, we know that global economy will continue to grow at 3 percent, 4 percent per year. Even when copper prices were falling from 2012 to 2016, the world continued to grow, which means there has been increased demand for copper. There was oversupply, that's why copper prices fell, but as copper prices were lower, there was no investment, it was not profitable to develop new mines, and now we are looking at the supply gap. In the case of copper, if the global economy continues to grow, the demand for copper will grow. If you look at the supply and demand fundamentals, you can easily estimate what is the balance price for copper. If there is a recession, I see copper at below 2 dollars, again global recession especially, or a slowdown in China. If there is no such thing in the next two years, copper can go to 4. However, the risk is now much higher than when copper was at 2, because that was really a bargain. Now at 3, the risk is higher, so be aware of that from a fundamental perspective. To conclude, staying on copper, demand will definitely be 20-30 percent higher in the next decade, because the world will grow 2-3-4 percent in the next decade per year, so there will be more demand for copper that's inevitable. And now you have to play it on those swings, rebalance accordingly, and you can therefore easily increase your investing returns. Keep following the channel, please subscribe if you haven't, because we'll constantly discuss investment opportunities like it was the case for copper. Now it's a little bit more risky, but there are some other interesting investments that are less risky, and hopefully will lead to higher returns. Thank you for watching, looking forward to your comments, click like if you like the content, and I'll see you in the next video.