NY 2nd Month Sugar Futures
NY sugar futures held their nerve yesterday as prices found support at 10.70 triggering a close at 10.91, near the day’s high. The stochastics are rising towards overbought territory as the MACD diff is positive but is converging. Yesterday’s recovery and hammer candle could set the scene for higher prices in the coming sessions. Futures need to take out immediate resistance at 11 before targeting the recent high at 11.27. Tertiary resistance stands at 11.50. On the downside, selling pressure in recent sessions has increased and if prices are to confirm the double top and rejection of 11.27, and sell signal from the stochastics. A near term downside target is 10.45, superseding this level support stands at 10.
LDN 2nd Month Sugar Futures
London sugar futures sold off sharply yesterday morning but were well supported at 335.07. Prices recovered and closed at 343.50. The stochastics are starting to fall out of overbought territory, the MACD diff is positive and is converging. The reaffirmation of support at the 61.8% fib level could set the scene for higher prices back to 352. Prices need to take out the 100 DMA in the long run at 360.86 to reconfirm the recent trend and inverse head and shoulders. On the downside, the hanging man could set the scene for lower prices through 329.40 and then 320.
NY 2nd Month Coffee Futures
NY coffee futures sold off sharply yesterday as protracted selling pressure triggered a test of support at 100.54. The market closed at 100.90. The stochastics are falling and the MACD diff is negative and diverging on the downside. Yesterday’s full candle suggests lower prices, a break of 100 could set the scene for lower prices to 95.80, this would confirm the descending triangle. On the upside, if support at 100 is affirmed today this could trigger gains back to 104.75. Prices need to take out near term trend resistance and then 108.55 in the medium term in order to regain upside momentum.
LDN 2nd Month Coffee Futures
London coffee futures buckled yesterday as protracted selling pressure prompted a break of support at 1200. The market closed at 1199. The stochastics are falling and have given a sell signal and the MACD diff is positive but converges suggesting lower prices in the near term. Yesterday’s close, the full candle, and filling of the gap suggest lower prices back to 1173.79 before the psychological level. On the upside, if prices are supported below 1200 could trigger gains back to 1250. The 100 DMA is a key level on the upside in the medium to long term. Yesterday’s candle could trigger losses in the near term.
NY 2nd Month Cocoa Futures
NY cocoa futures surged higher yesterday as intraday trading caused futures to break back above resistance 2352 and 2365 to close at 2387. The stochastics are starting to improve and the MACD diff is negative but converging suggesting higher prices. Trend support held firm and protracted buying pressure formed a bullish engulfing candle, prices need to take out-trend resistance would help confirm the improved upside momentum. A breakout of the symmetrical triangle on the upside would bring the 200 DMA at 2489 into play. On the downside, rejection of trend resistance prices could prompt some of yesterday’s gains to be given back. A breach of 2300 may set the scene for lower prices to 2250.
LDN 2nd Month Cocoa Futures
London cocoa futures firmed yesterday as support at 1800 held firm, the market closed at 1834. The stochastics are improving and emerging from oversold. The MACD diff is negative and starting to converge. To confirm the buy signal from the stochastics and the bullish engulfing candle, prices need to take out 1858 before targeting 1901. On the downside, futures need to break support at 1800 before targeting 1750.
