What’s Up, What’s Down: Spotlight on Softs
Comments for October 3, 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
SPOTLIGHT ON THE SOFTS: BEARISHNESS ABOUNDS
COCOA: Cocoa made a new CONTRACT LOW AND CLOSE obviously looking very bearish as evidenced by the weekly chart below. SELL SIGNAL. CALL FOR DETAILS!
SUGAR: Sugar settled lower this time after bouncing off some resistance on Friday still in a down-trend since around the middle of August. SELL SIGNAL. CALL FOR DETAILS.
COTTON. Cotton settled still in a good support area but keeping me on the sidelines for now with no good direction in my opinion since July.
COFFEE: Coffee made its worst low and close since January continuing its plummet since the beginning of September. Its first resistance area starts around 24300 in the December contract. SELL SIGNAL. CALL FOR DETAILS!
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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.