Hi guys,
It looks like a good time to get into Coffee. The CFTC report (refer to barcharts.com) shows the dealers and commercials are extremely net long and control most of the open interest. We are overbought at the moment and need to see a pullback where we want to be buyers. I'm expecting price to come back to this support zone - if not I may take a break out style trade as price goes higher. I have set a series of action and reaction lines from our channel down and an upsloping pitchfork - my target is the next warning line. Lets see how this unfolds.
It looks like a good time to get into Coffee. The CFTC report (refer to barcharts.com) shows the dealers and commercials are extremely net long and control most of the open interest. We are overbought at the moment and need to see a pullback where we want to be buyers. I'm expecting price to come back to this support zone - if not I may take a break out style trade as price goes higher. I have set a series of action and reaction lines from our channel down and an upsloping pitchfork - my target is the next warning line. Lets see how this unfolds.