What’s Up, What’s Down: Spotlight on Softs
Comments for December 5, 2011
Looking ahead to Monday by reflecting back on Friday’s trading
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors.
STILL BEARISH ON SUGAR, COTTON & COFFEE
SOFTS: 12/5/2001
SUGAR: Sugar settled lower again while in a downtrend since August. Sugar’s nearest resistance starts above 2400 with the 2500 area right in the middle. SELL SIGNAL. CALL FOR DETAILS!
COTTON: Cotton settled higher again while having very good resistance above 9500 up to 1050. Also, there’s very little support underneath and really needs to hold the 9000 area. SELL SIGNAL. CALL FOR DETAILS!
COFFEE: Coffee had a huge range before settling sharply lower. Coffee has been falling since the beginning of September on the daily chart and May on the weekly one. A close over 240(only once since Oct. 24th) first and confirmed by a close over 250 is what’s needed to turn this market around at this time in my opinion. SELL SIGNAL. CALL FOR DETAILS!
Follow more Softs market related stories and commentary at my Softs Futures blog (www.softsfuturesupdate.com)
Rick Alexander has been a broker and analyst in the futures business for over thirty years. He is a Vice-President for Sales and Trading at the Zaner Group (www.zaner.com) a Chicago-based futures brokerage firm. Email Rick at ralexander@zaner.com or call toll-free (888) 281-4158.
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors. The information in this Report and the opinions expressed are subject to change without notice. All known news and events have already been factored into the price of the underlying commodities discussed.