Excerpted in part, for what it’s worth, from TD Securities Industry Insights (Commodity Weekly - Metals - 28 Feb 2017)

• We believe that it is worth noting the change in both LME and Shanghai copper inventories. The sharp year-to-date decline in LME inventories has largely been offset by a sharp rise in the Shanghai inventories. However, last week, we saw a very small decline in the Shanghai inventories. If this proves to be a peak, and LME inventories continue to move lower, we believe it could set up a bullish scenario for copper. Typically, following large continuous builds, Shanghai inventories follow with continuous declines.
  
  
• Technically, we believe that the copper price chart is in an uncertain position. We believe that this could play out in two scenarios:

- A negative outlook would be a seasonal replay of 2015 with a Q1 rally followed by a steep Q2 decline.

- A positive view is that we are at the beginning of a major cyclical reversal in copper pricing following a six-year bear market. Given our view that we are in the late-cycle phase, we are taking the latter view. A decline in copper inventories could be a potential catalyst.