Robusta coffee term T11/2022 (LRCX22) continued the uptrend, increasing by 15 USD (+0.67%), closing price at 2258 USD/ton.
The dollar gained strongly at the beginning of the session, then weakened and ended the session down 0.523% to 108.42 when the US manufacturing and service PMI data was released lower than expected and the previous period. This makes the market believe that the health of the US economy is weak, so the possibility that the FED will reduce the speed of monetary tightening in the next September operating period.
Inventories of London floor-standard Robusta coffee decreased by 1.73% ~ 1700 tons from the previous week, at 96,480 tons, recording the 5th consecutive week of decline while New York-standard coffee recorded an increase. recent days. In addition, logistics issues at ports in London are still the focal point to support Robusta prices when many people are concerned that it may affect the transport and distribution of coffee on the London floor.
According to technical analysis, MACD shows bullish momentum signal. It is expected that in the short term, the price will still struggle to find new resistance at 2280-2300. However, the price is currently in the overbought zone of 75.11%, so it is likely that the price will have a technical downward correction before finding a way to conquer the new resistance area. If the price can sustain above the 2190-2200 zone, the uptrend is still consolidated. Conversely, if the price breaks out of that support area, the price can drop to the support zone of 2140-2150.
HINTS BUY/SELL STRATEGY IN THE Session (refer).
NEW BUYING CL:
- Support zone 1: 2230-2235 USD
- Support zone 2: 2220-2225 USD
- Proportional buy, stop loss $2205
CL SELL DOWN:
- Resistance 1: 2265-2270 USD
- Resistance 2: 2275-2280 USD
- Proportional sell, stop loss $2,295
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