Arabica coffee term 03/2023 (KCEH23) was unchanged because yesterday the market was on Thanksgiving holiday, the price closed the old session at 162.75 cents/lbs.
The USD had a slight decline in the context of the US market on Thanksgiving holiday and the market expected that the FED would soften its hand for the December interest rate hike. The Brazilian Real rose 1.08%, 1 USD = 5,3110 BRL. This exchange rate is not attractive enough for sellers to boost sales and support the recovery of Arabica prices.
With Robusta alone slowly gaining and recovering in the yesterday session and the dollar decreasing in value, it is likely that Arabica will have a slight increase in today’s session to keep up with Robusta because the price of Arabica has also been in the oversold low area. long.
According to technical analysis, the technical indicators showing neutral trend signal are not clear yet. It is expected that in the short term, Arabica price is still struggling to accumulate and increase to find the resistance zone with the near resistance at 166-167 and further at 170-172. With old buying positions at high prices, this recovery is a good opportunity for customers to reduce their positions and consider buying new when there is a decrease.
HINTS BUY/SELL STRATEGY IN THE Session (refer).
NEW BUYING CL:
- Support zone 1: 160 – 160.50 cents
- Support zone 2: 159 – 159.5 cents
- Stop Loss: 155 cents
CL SELL DOWN:
- Resistance zone 1: 166.5 – 167 cents
- Resistance zone 2: 170-170.50 cents
- Stop Loss: 174 cents
Banks accompanying coffee businesses:
Sacombank is a bank that can supply commodity price derivatives with the permission of the State Bank of Vietnam, and is a reputable long-term partner of major commodity exchanges in the world such as CBOT, CME, NYMEX, LME … aims to help customers limit risks on market prices, increase business profits, protect capital…
Interested please contact: 028 6288 4100 / [email protected] or click here for more details.
