Are materials headed for a major meltdown?
According to Jeff DeGraaf, institutional investors top ranked technical analyst for the past six years, a worrisome signal may be emerging.
DeGraaf, recently left ISI Group to start his own firm, Renaissance Macro Research and spoke with Fast Money first since starting his own firm.
In a live interview on CNBC's Halftime Report, DeGraaf explains that he's concerned by the price action in copper - called doctor copper - because it often serves as a bellwether for moves in the sector broadly, and something the entire market.
"Weakness in copper is a question mark," is a big question mark.
Over the last few months, many investors have piled into copper, as a bet that demand from developing countries would keep sending prices skyward.
But in recent days investors have punished copper and other industrial metals as China has moved to curb growth in their efforts to curtail inflation. And in the wake of the earthquake, concerns have surfaced about decreased auto production in Japan; that's dragged down copper prices even more.