by Jim Wyckoff, Senior Analyst, TraderPlanet.com
OCTOBER SUGAR
October sugar closed down 23 points at 12.36 cents yesterday. Prices closed nearer the session low. A stronger U.S. dollar weighed on the sugar market yesterday. Bulls have faded. Bulls’ next upside price objective is to push and close prices above solid technical resistance at 13.00 cents. Bears’ next downside price objective is to push and close prices below solid technical support at 12.00 cents. First resistance is seen at 12.50 cents and then at yesterday’s high of 12.70 cents. First support is seen at yesterday’s low of 12.20 cents and then at 12.00 cents.
Wyckoff’s Market Rating: 4.5
DECEMBER COFFEE
December coffee closed up 20 points at 130.45 cents yesterday. Prices closed near mid-range yesterday in quiet trading. Prices did hit a fresh 13-month low yesterday. Coffee bears have the near-term technical advantage. Prices are still in a four- week-old downtrend on the daily bar chart. Coffee bulls’ next upside price objective is pushing and closing prices above solid technical resistance at last week’s high of 138.50 cents. The next downside price objective for the bears is closing prices below solid technical support at 125.00 cents a pound. First support is seen at yesterday’s low of 128.80 cents and then at 127.50 cents. First resistance is seen at yesterday’s high of 131.35 cents and then at this week’s high of 134.00 cents.
Wyckoff’s Market Rating: 2.5
DECEMBER COCOA
December cocoa closed down $2 at $2,555 yesterday. Prices closed near mid-range yesterday. Chart damage has been inflicted this week and the bulls faded badly. Prices are still in a three-month-old downtrend on the daily bar chart. The next upside price objective for the cocoa bulls is to push and close prices above solid technical resistance at $2,700. The next downside price objective for the bears is pushing and closing prices below solid technical support at the September low of $2,496. First resistance is seen at yesterday’s high of $2,596 and then at $2,630. First support is seen at yesterday’s low of $2,510 and then at $2,496.
Wyckoff’s Market Rating: 4.0.
DECEMBER COTTON
December cotton closed up 63 points at 58.01 cents yesterday. Prices hit another fresh contract low yesterday and then did rebound a bit on tepid short covering in a bear market.Still, serious chart damage has been inflicted recently. Cotton bears still have the solid near-term technical advantage. The next downside price objective for the bears is to produce a close below strong technical support at yesterday’s contract low of 55.11 cents. The next upside price objective for the bulls is to produce a close above solid chart resistance at 60.00 cents. First resistance is seen at 59.00 cents and then at 60.00 cents. First support is seen at 57.00 cents and then at 56.00.
Wyckoff’s Market Rating: 1.5
NOVEMBER ORANGE JUICE
November orange juice closed up 205 points at $.8895. Prices closed near the session high yesterday on short covering in a bear market after hitting a fresh contract low early on. Bears are still in technical control as prices are in a 2.5-month-old downtrend on the daily bar chart. The next downside technical objective for the FCOJ bears is to produce a close below solid technical support at $.8000. The next upside price objective for the OJ bulls is pushing prices above solid technical resistance at last week’s high of $.9375. First resistance is seen at $.9000 and then at $.9250. First support is seen at $.8600 and then at yesterday’s contract low of $.8520.
Wyckoff’s Market Rating: 2.0.
NOVEMBER LUMBER
November lumber futures closed down $0.30 at $203.50 yesterday. Prices closed near mid-range yesterday and hit another fresh contract low, amid the financial market meltdown. Lumber bears still have the near-term technical advantage. The next upside technical objective for the lumber bulls is pushing and closing prices above solid technical resistance at last week’s high of $219.00. The next downside price objective for the bears is pushing and closing prices below solid support at $200.00. First resistance is seen at yesterday’s high of $205.80 and then at $210.00. First support is seen at yesterday’s contract low of $201.50 and then at $200.00.
Wyckoff’s Market Rating: 1.0.
