NEW YORK ( TheStreet) -- I was talking with Stephanie Link, the co-portfolio manager for Action Alerts PLUS, about the copper trade and a few of the stocks that have been benefiting from a strong rally in prices since the beginning of August.

Stephanie has been a big advocate over the last month for Vale ( VALE), the Brazilian copper miner that has rallied from near $12 a share to sit today nearer to $15, a 25% gain that's impossible to argue with.

But every production report I read tells me the same story: The supply coming online continues to outstrip the potential demand, even with a recovering economy in the U.S. and Europe. Almost six of every 10 tons of copper are dependent upon China and its numbers on growth that, even with a manufacturing expansion in August, continue to be revised downwards.

I'd love to recommend copper because it has endlessly lagged the rest of the commodity recovery since 2009, but I just can't do it. One of the points that Stephanie and I agreed upon was the long-term nature of the copper trade. If you are buying VALE or my own favorite Freeport-McMoRan ( FCX), you must do it with a very long horizon view in mind. With dividends over 5% for VALE and 4% for FCX being safely delivered, it's a legitimate "pay to wait" idea.

I talk more about copper with Stephanie in the video above.

Action Alerts PLUS has a position in VALE.

At the time of publication the author had no position in any of the stocks mentioned.

This article was written by an independent contributor, separate from TheStreet's regular news coverage.

Dan Dicker has been a floor trader at the New York Mercantile Exchange with more than 25 years of oil trading experience. He is a licensed commodities trade adviser.

Dan is currently President of MercBloc LLC, a wealth management firm and is the author of "Oil's Endless Bid," published in March of 2011 by John Wiley and Sons.

Dan Dicker has appeared as an energy analyst since 2002 with all the major financial news networks. He has lent his expertise in hundreds of live radio and television broadcasts on CNBC, Bloomberg US and UK and CNNfn.

Dan obtained a bachelor of arts degree from the State University of New York at Stony Brook in 1982.

If you liked this article you might like

Hit the 'Mother Lode' With Vale ADRs