Archive for June, 2014

Weather remains generally favorable to cotton plant development across most cotton producing regions of the US with warm temperatures and PM thundershowers occurring across most areas. No mention of drought relief for CA, however, is mentioned in current weather forecasts.

Dec has given up 939 points over the last 36 trading days. Resistance was found today at 76.81 while support was found at 75.03. Dec should again commence trading action this evening below its 5-, 10-, 20-, 50-, 100- and 200-day SMAs.

For tomorrow…

Dec gave up another 123 points today (242 points over the last two days) to settle at 75.26. The settlement was within the lower one quarter of today’s 178 point trading range (75.03 – 76.81). Although, our analysis had favored a move lower over the near-term, we had expected some modicum of support ahead of the weekly US cotton export report, but it was not to be.

Technical sentiment for Dec remains bearish, with the gap (77.95 – 78.00) above the current market now threatening to be of the breakaway variety.

For tomorrow…

Dec has given up 816 points over the last 35 trading days. Resistance was found today at 77.68 while support was found at 76.38. A gap remains above the current market (77.95 – 78.00).

Traders will likely make maneuvers tomorrow ahead of the weekly US cotton export report. Given the recent steep inversion of the July – Dec spread, there seems to be an opportunity for significant sales to be logged against the current MY.

For tomorrow…

Dec gave up up 119 points today to settle at 76.49. The settlement was within the lower one quarter of today’s 130 point trading range (76.38 – 77.68), which was completely on the negative side of yesterday’s settlement. Today’s results were on par with expectations put forth here yesterday.

Technical sentiment for Dec remains bearish with today’s settlement below most referenced SMA periods. The gap (77.95 – 78.00) above the current market remains.

For tomorrow…

Cotton producing regions of the mid-southern and southeastern US states continue to experience seasonally warm and sunny weather with scattered PM thundershowers.

Fundamentally, in addition to weather concerns for India and China, positive textile export news was reported out of both India and China today.

For tomorrow…