You're right that PD has been in a bear market since early '01. But since its April '03 lows it has rallied over 30%. At the same time, the futures traders are betting on zero price increase for the metal. The one-year futures (194.45) are about the same price as the one-month (192.00).
But since the april PD lows, PAL more than tripled, until the current pullback. It has broken its two-year high set in May '02. Clearly stock buyers expect a serious recovery.
As the economy continues to recover, all other things being equal, prices of commodities such as PD will strengthen.
The stock has mild support around this level, but stronger support just below 6. At that level I'll be looking to add to my position.