September Cocoa Futures a Selling Opportunity on Fresh Price Weakness
See on the daily bar chart for September ICE cocoa futures that prices have backed down from the recent high. Recent price action has also formed a bearish broadening pattern, which generally occurs at market tops. A move in prices below solid chart support at this week’s low of $3,040 would give the cocoa bears fresh downside technical momentum and it would also become a selling opportunity. The downside price objective would be $2,900 or below. Technical resistance, for which to place a protective buy stop just above, is located at $3,100.
