Robusta coffee term 03/2023 (LRCH23) could not maintain the uptrend, reversed to decrease, decreased by 20 USD (-1.08%), the price closed at 1,840 USD/ton.
The USD had a quiet session, ending the session with a slight increase of 0.097% to 103.27 while investors were limiting their exposure to the USD to wait for information on the US Consumer Price Index (CPI) to be released. announcement, because this information can affect the policy of the US central bank. Besides, China’s quick reopening of its borders after removing anti-Covid-19 restrictions has made investors shift to other risky assets and currencies instead of pouring into the US dollar as the role of the US dollar. The role of a safe haven had a negative impact on the recovery rate of the USD. According to information from the Suez Canal, it has cleared the congestion caused by the ship transporting 60,000 tons of corn from Eastern Europe to China, because this route is also a maritime route transporting Robusta coffee from Southeast Asia to Europe. In Europe, this news had a negative impact, causing the price of Robusta coffee to reverse and decrease.
According to a report by the General Statistics Office of Vietnam, Vietnam’s coffee exports in 2022 reached 1.8 million tons, up 13.8%. This factor has had a negative impact on the price of Robusta coffee.
According to technical analysis, the technical indicators are still showing neutral signals and not yet clear the price trend. Robusta price is still stuck in the 1800-1900 range and is expected to remain in this price range in the short term. Only when the price rises above the 50 MA at 1883 and sustains above the psychological 1900 resistance will the uptrend be established clearly. Conversely, if it loses the 1800 level, Robusta can retest the old bottom 1750-1760.
HINTS BUY/SELL STRATEGY IN THE Session (refer).
NEW BUYING CL:
- Support zone 1: 1825-1830 USD,
- Support zone 2: 1810-1815 USD,
- Proportional buy, stop loss $1,796.
CL SELL DOWN:
- Resistance level 1: 1855-1860 USD,
- Resistance level 2: 1870-1875 USD,
- Proportional sell, stop loss $1,889.
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