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Non-independent Research Daily Softs Technical Charts

Non-independent Research

Daily Softs Technical Charts

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NY 2nd Month Sugar Futures

NY sugar futures gained ground yesterday as buying pressure triggered a close on the front foot at 18.11. The stochastics are rising yet converging, with the %K seen tailing off in thee overbought, as the MACD diff is positive and diverging on the upside. This suggests we could see higher prices in the near term towards 18.53, before testing the 19.00 level. On the downside, the candle found support at 18.00, and if the prices break through this level, we could see prices retreat back through the 17.87 before 17.66. The evening star formation with long upper and lower wicks points to market uncertainty, and we could see prices moderate today.

Ldn 2nd Month Sugar Futures

Ldn sugar futures edged higher yesterday as intraday trading saw prices close at 469.60. The stochastics are rising, with the %K/%D converging in the overbought territory, and the MACD diff is positive and diverging. A break of the 467 could trigger losses through 460, with the secondary level at 457.20. On the upside, futures need to close above the 470 level, which could set the scene for bullish momentum. After the last session’s market indecisiveness – the spinning top formation with long upper and lower wicks – as prices struggle above 470, we could see more downside movement in the near term.

NY 2nd Month Coffee Futures

NY coffee futures failed into 158.25 yesterday as prices closed at 156.40. The stochastics are falling, with %K/%D converging on the downside and the MACD diff just converged on the downside, a strong sell signal. The rejection of higher prices may prompt a break below 10 DMA at 156.23, a subsequent breach of this level could trigger losses towards 40 DMA at 155.31. On the upside, a break of 165 and 170 may prompt futures to retest 168.65. A subsequent breach of this level would prompt prices to regain upside momentum. Three black crows pattern formation confirms indicators’ outlook for lower prices in the near term.

Ldn 2nd Month Coffee Futures

Ldn coffee prices softened yesterday as prices were supported at the 1700 level, the market closed at 1701. The K%/%D is converging in the overbought, whereas the MACD diff is positive yet lacks conviction to point out an outlook, suggesting we could see lower prices in the near term. The market needs to take out support at the 1700 level and then 1669, this could trigger losses back towards the robust support level of 10 DMA at 1657. On the upside, if prices find support above both 1720 and 1730, the market could set the scene for higher prices to 1735. The long lower wick points to an increased appetite on the downside, and we could see prices edge lower in the near term.

NY 2nd Month Cocoa Futures

NY cocoa futures softened yesterday as selling pressure saw futures test appetite at 2351. This level held firm, and the future closed at 2355. The stochastics are rising, with %K/%D converging on the downside. Likewise, the MACD diff converged on the downside, suggesting we could see price moderate. To confirm the outlook for higher prices, futures need to break above the resistance at 2400, which could set the scene for futures to take out 2434. On the downside, the market needs to take out support at 2355 and then support at 2350. The 10 DMA level continues to support the futures on the upside, however, seen flattening, and with a longer upper wick on Thursday, we could see the bears’ strength grow in the near term. 

Ldn 2nd Month Cocoa Futures

Ldn cocoa futures edged lower yesterday as prices failed above 10 DMA once again and then closed below at 2225. The indicators are favouring the downside; the stochastics are falling, with %K/%D diverging on the downside and edging towards the oversold area, and the MACD diff is negative and diverging, confirming further selling pressures. A break below the 38.2% fib level at 2211 would bring into play the support at 2210. On the upside, prices need to find support above 10 DMA at 2246 and the previous week’s high at 2277 before targeting 2300 in the near term. Indicators point to bearish momentum, as prices have struggled to break out of the DMA resistance, and a break out of this level would set the scene for a trend change.



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