by Jim Wyckoff, Senior Analyst TraderPlanet.com
MAY SUGAR
May sugar closed down 23 points at 11.89 cents yesterday. Prices closed near the session low. A bearish descending triangle pattern has formed on the daily bar chart. Bulls’ next upside price objective is to push and close prices above solid technical resistance at 12.55 cents. Bears’ next downside price objective is to push and close prices below solid technical support at the March low of 11.25 cents. First resistance is seen at 12.00 cents and then at yesterday’s high of 12.26 cents. First support is seen at 11.75 cents and then at 11.50 cents.
Wyckoff’s Market Rating: 5.5
MAY COFFEE
May coffee closed down 40 points at 133.20 cents yesterday. Prices closed near the session low. Prices have been pausing for over two weeks and this pause is not bullish, given the steep decline just before the pause. Bears still have slight the near-term technical advantage. Bulls’ next upside price objective is closing prices above solid technical resistance at 135.35 cents. The next downside price objective for the bears is closing prices below solid support at 130.00 cents a pound. First support is seen at this week’s low of 131.75 cents and then at 130.00 cents. First resistance is seen at yesterday’s high of 134.50 cents and then at 135.35 cents.
Wyckoff’s Market Rating: 4.0
MAY COCOA
May cocoa closed down $28 at $2,287 yesterday. Prices closed near the session low. Bears still have the near-term technical advantage as prices have been trading sideways to lower since the big declines in mid-March. The next upside price objective for the bulls is to push and close prices above technical resistance at $2,400. The next downside price objective for the bears is closing prices below solid support at last week’s low of $2,217. First resistance is seen at yesterday’s high of $2,331 and then at this week’s high of $2,347. First support is seen at this week’s low of$2,264 and then at $2,250.
Wyckoff’s Market Rating: 4.0
MAY COTTON
May cotton closed down 117 points at 71.63 cents yesterday. Prices closed near the session low yesterday. Traders were squaring positions yesterday ahead of Wednesday morning’s USDA monthly supply and demand report. Cotton prices are still in a four-week-old downtrend on the daily bar chart. The next downside price objective for the bears is to produce a close below strong technical support at 70.00 cents. The next upside price objective for the bulls is to produce a close above solid chart resistance at 75.00 cents. First resistance is seen at yesterday’s high of 72.25 cents and then at this week’s high of 73.35 cents. First support is seen at 71.50 cents and then at 71.00 cents.
Wyckoff’s Market Rating: 4.0
MAY ORANGE JUICE
May orange juice closed down 20 points at $1.1755. Prices closed nearer the session high yesterday. FCOJ bears still have the near-term technical advantage. A 13-week-old downtrend is in still place on the daily bar chart. The next upside technical objective for the FCOJ bulls is to produce a close above solid chart resistance at this week’s high of $1.2040. The next downside price objective for the OJ bears is pushing and closing prices below solid support at this week’s low of $1.1185. First resistance is seen at yesterday’s high of $1.1850 and then at $1.2040. First support is seen at $1.1500 and then at this week’s low of $1.1185.
Wyckoff’s Market Rating: 3.0
MAY LUMBER
May lumber futures closed up the $10.00 limit at $243.90 yesterday. Prices gapped higher on the daily bar chart and hit a fresh five-week high yesterday. The bulls have gained solid upside technical momentum to suggest a market low is in place. The next upside technical objective for the lumber bulls is pushing prices above solid resistance at $250.00. The next downside price objective for the bears is pushing and closing prices below solid support at $234.40, which would fill on the downside yesterday’s big upside price gap. First resistance is seen at $246.70 and then at $250.00. First support is seen at yesterday’s low of $241.00 and then at the contract low of $237.50.
Wyckoff’s Market Rating: 4.5
