Softs Technical Charts

NY 2nd Month Sugar Futures

NY sugar futures rallied sharply on Friday as strong buying appetite saw prices close at 19.17. Futures rebounded decisively from below 18.00 and broke above the 10 DMA at 18.64 and the 40 DMA at 18.59, reversing Thursday’s decline and improving the short-term technical structure. The 100 DMA at 16.54 continues to rise well below current prices, maintaining the broader constructive trend. However, futures remain below the August highs near 20.00, which continue to cap the upside. The stochastics are rising sharply, with %K/%D diverging on the upside at 97.46/61.27. %K has moved deep into overbought territory, signalling strong buying momentum but also suggesting that the advance is becoming stretched. The MACD diff remains marginally negative at -0.0558, with the MACD line at 0.1359 below the signal line at 0.1916, indicating that the broader momentum indicator has not yet confirmed Friday’s price recovery.

To confirm the outlook for higher prices, futures need to hold above the 18.59–18.64 DMA support area and break through resistance around 19.20. A sustained close above this level could set the scene for a move towards 19.50, before the August highs and psychological resistance at 20.00 come back into focus. On the downside, a failure to retain support above the short-term moving averages could trigger another test of 18.00. A close below 18.00 would weaken the recovery and could bring 17.50 into focus, although the rising 100 DMA at 16.54 would remain the more robust longer-term support.

Ldn 2nd Month Sugar Futures

Ldn sugar futures rallied strongly on Friday as sustained buying pressure saw prices close at 545.40. Futures broke decisively above the closely aligned 10 and 40 DMAs at 520.96 and 523.29, respectively, and moved through the recent resistance around 530–540. The move has restored the bullish short-term structure and brought prices close to the August high around 555. The rising 100 DMA at 480.69 remains well below current levels and continues to support the broader upward trend. The stochastics are rising sharply, with %K/%D diverging on the upside at 98.27/72.17. %K has moved deep into overbought territory, confirming strong buying momentum but also indicating that the market is increasingly stretched. The MACD diff has converged on the upside and turned positive at 0.3665, with the MACD line at 3.0614 above the signal line at 2.6949, confirming the return of buying pressure.

To confirm the outlook for higher prices, futures need to hold above 540 and break through the August resistance around 550–555. A sustained close above this area could set the scene for a move towards the psychological 560 level. On the downside, a failure to retain support above 540 could trigger a pullback towards 530. A deeper correction would bring the 40 and 10 DMAs at 523.29 and 520.96 back into focus. A close below this moving-average support area would weaken the bullish breakout and could see futures return towards 510–500.

NY 2nd Month Coffee Futures

NY coffee futures edged lower on Friday as marginal selling pressure saw prices close at 280.50. Futures nevertheless remained above the 10 DMA at 274.54, preserving the immediate recovery from the September low around 260. However, the market continues to trade below the 100 DMA at 291.47 and the 40 DMA at 299.25, leaving a robust resistance band between 291 and 300 and maintaining the broader bearish structure. The stochastics remain elevated, but %K has moved marginally below %D at 66.92/68.47, signalling that the recent buying momentum is beginning to soften. Conversely, the MACD diff is positive and diverging at 1.71, with the MACD line at -6.90 above the signal line at -8.61, highlighting easing selling pressure and supporting the recent recovery.

To confirm the outlook for higher prices, futures need to hold above the 10 DMA at 274.54 and break through resistance around 285. A sustained close above this level could set the scene for a test of the 100 DMA at 291.47, followed by the 40 DMA at 299.25 and the psychological 300 level. Futures would need to close above this moving-average resistance area to confirm a more meaningful bullish shift. On the downside, a break below the 10 DMA could trigger another test of support at 270. A close below this level would weaken the recovery and bring the September low around 260 back into focus.

Lnd 2nd Month Coffee Futures

Ldn coffee futures rallied sharply on Friday as strong buying pressure saw prices close at 3448, extending the recovery from the September low around 3220. Futures moved decisively above the 10 DMA at 3358 but remained below the 40 DMA at 3522 and the 100 DMA at 3577. The proximity of the longer-term averages creates a robust resistance area between 3522 and 3577, while the market’s position below both levels leaves the broader bearish structure intact. The stochastics are rising, with %K/%D diverging on the upside at 76.67/69.66, signalling strengthening buying momentum as %K approaches overbought territory. The MACD diff is positive and diverging at 17.69, with the MACD line at -48.55 above the signal line at -66.25, confirming that selling pressure is receding and supporting the recovery.

To confirm the outlook for higher prices, futures need to hold above the 10 DMA at 3358 and break through resistance around 3500. A sustained close above this level could set the scene for a test of the 40 DMA at 3522 and the 100 DMA at 3577. Futures need to close above this moving-average resistance area to confirm a stronger recovery and target 3600, followed by 3700. On the downside, a failure to retain support above 3400 could trigger a test of the 10 DMA at 3358. A close below this average would weaken the immediate bullish momentum and bring 3300 back into focus, before the September low around 3220–3250.

NY 2nd Month Cocoa Futures

Ldn 2nd Month Cocoa Futures