1. Soft Commodities Outlook
  2. Softs Technical Charts

NY 2nd Month Sugar Futures

NY Sugar 30102024

NY sugar futures held their nerve yesterday as prices closed at 20.45. The stochastics are rising, with %K/%D diverging on the upside. The MACD is negative and about to converge on the upside, which will send a strong buy signal. The rejection of resistance 20.76 may prompt a break above the 40 DMA level at 20.81; a subsequent breach of this level could trigger gains towards 21.00. On the downside, a break of 20.08 may prompt futures to retest the last session’s lows at 20.00. A subsequent breach of this level would prompt prices to weaken substantially lower in the longer term. Short candle bodies in recent days point to market uncertainty out of current ranges of 20.00-20.76. To confirm the indicators’ bullish signal, futures need to break out of these levels on the upside in the near term.

Tables 1 (413)

Ldn 2nd Month Sugar Futures

Ldn Sugar 30102024

Ldn sugar futures held their nerve yesterday as intraday trading saw futures test appetite at 574. This level held firm, and futures closed below this level at 571.50. The stochastics remain flat, and the MACD diff is negative and converging, signalling marginal appetite for waning selling pressures. To confirm the outlook for higher prices, a break above the resistance at 574 could set the scene for futures to take out the 580.70 level before targeting the trend resistance. On the downside, the market needs to take out the support of 40 DMA at 565.28 and then trend support at 563. Recent candles have been stuck in a tight range as they edge marginally lower. The indicators and current doji candles signal continued uncertainty about the outlook for higher prices in the near term.

Tables 2 (412)

NY 2nd Month Coffee Futures

NY Coffee 30102024

NY coffee futures opened higher yesterday, but resistance at shorter-term moving averages caused futures to close lower on the day at 247.25. The stochastics were about to cross on the upside, but that momentum has weakened, prompting %K and %D to diverge on the downside. The MACD diff is negative and converging. On the downside, a break of the 100 DMA at 242.85 could trigger losses through 240, with the tertiary level at 236.25. On the upside, a break above the 10 and 40 DMAs at 250.73 and 253.95, respectively, could set the scene for bullish momentum towards 255.30. The candle closing lower on the day could be a sign that futures found robust resistance at these levels, and the indicators lack the appetite to indicate growing upside momentum.

Tables 3 (411)

Ldn 2nd Month Coffee Futures

Ldn Coffee 30102024

Ldn coffee futures opened above the previous day’s close; however, prices struggled above the 100 DMA and closed on the back foot at 4398. The stochastics continue to fluctuate in the oversold, while the MACD diff is negative and converging. To suggest the longer-term trend on the upside, futures must first break above the 10 and 100 DMAs at 4498 and 4552, respectively. A subsequent breach of these levels would prompt prices to regain upside momentum in the near term. Alternatively, the rejection of higher prices may prompt a break back towards support at 4338 and then 4200. Longer upper wick points to an appetite out of the current trading range; however, futures need to break above the DMAs to confirm the outlook on the upside.

Tables 4 (413)

NY 2nd Month Cocoa Futures

NY Cocoa 30102024

NY cocoa futures rallied yesterday as protracted buying pressure triggered a close on the front foot above 10 and 40 DMAs at 6851. The %K/%D is diverging on the upside. Likewise, the MACD diff is positive and diverging, confirming growing buying pressures. On the upside, finding support above the 6720 level could trigger gains through 7000 towards 200 DMA at 7377. On the downside, a break below the 6500 level could trigger losses back towards 6000. The DMAs have been resisting futures prices in recent days, and a break above these levels sends a strong buy signal. The close near the highs shows that the buying pressure is growing, and the bullish outlook is on the horizon.

Tables 5 (411)

Ldn 2nd Month Cocoa Futures

Ldn Cocoa 30102024

Ldn cocoa futures rallied yesterday as protracted buying pressure triggered a close on the front foot above 10 DMA resistance at 5332. The %K/%D are diverging on the upside. The MACD diff is positive and diverging, outlining recent market growth. On the downside, a break back below the support level of 5000 could trigger losses back towards 4489, which would help confirm the outlook of lower prices in the longer term. On the upside, a complete break above 5359 could trigger gains through resistance towards 200 DMA at 5909, also a July high. The market rally has been strong in recent sessions, with three white soldiers' formation confirming the strength of bull sentiment. The prices struggled above 5359 yesterday. This level is crucial for determining further strength in the upside trend in the near term.

Tables 6 (412)

 

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