Robusta coffee for the term of September 2022 (LRCU22) had a struggling gain but the momentum weakened at the end of the session, increasing by 1 USD (+0.05%), the price closed at 1974 USD/ton.
The dollar continued to have a downward correction session when a new report was released showing that the business results of many US businesses remained stable despite difficult macroeconomic conditions in the second quarter. In general, the dollar will continue to move. Unpredictable variables when this week will release many important information such as the Fed’s interest rate hike, GDP and personal consumption spending in the second quarter of the US.
Robusta coffee prices are still facing downward pressure when the supply proves to be superior to New York floor coffee. According to the General Department of Vietnam Customs, Vietnam’s coffee exports in June increased by 13.3%.
According to technical analysis, the price of Robusta in the past session sometimes reached the highest level of 1990 and then gradually weakened towards the end of the session. In July, Robusta price accumulated and struggled in the 1915 – 2005 frame. The failure to test the 2000-2010 resistance area made it difficult for the future price of Robusta to increase. It is expected that today’s price will continue to struggle in a narrow range because investors and cash flow are waiting outside for important information on the Fed interest rate announced this Thursday. Customers consider reducing their status or standing outside the market to observe more, wait for information to be announced and the price trend is clearly established, and then come up with a new trading strategy.
HINTS BUY/SELL STRATEGY IN THE Session (refer).
NEW BUYING CL:
- Support zone 1: 1945-1950 USD
- Support zone 2: 1930-1935 USD
- Proportional buy, stop loss 1915 USD
CL SELL DOWN:
- Resistance 1: 1985-1990 USD
- Resistance 2: 2005-2010 USD
- Proportional sell, stop loss 2030 USD
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