Softs Market Commentary from Jim Wyckoff

SOFTS: October sugar closed up 142 points at
29.46 cents today. Prices closed near the session
high today, hit a fresh two-week high and saw a
bullish upside "breakout" from the recent sideways
trading range on the daily bar chart. Recent chart
damage was mostly repaired today as the bulls
regained upside near-term technical momentum. The
key "outside markets" were bullish for sugar today,
as the U.S. dollar index was weaker and crude oil
prices were higher. Bulls' next upside price
breakout objective is to push and close prices
above solid technical resistance at 30.00 cents.
Bears' next downside price breakout objective is to
push and close prices below solid technical support
at 28.00 cents. First resistance is seen at today's
high of 29.53 cents and then at 29.00 cents. First
support is seen at 29.00 cents and then at 28.69
cents. Wyckoff's Market Rating: 7.0

December coffee closed up 1,095 points at 265.95
cents. Prices closed near the session high today
and hit another fresh four-week high on short
covering and bargain-hunting buying interest. The
key "outside markets" were bullish for coffee
today, as the U.S. dollar index was weaker and
crude oil prices were higher. A 3.5-month-old
downtrend on the daily bar chart was negated today
as the bulls have gained good upside near-term
technical momentum this week. Bulls' next upside
breakout objective is to close prices above solid
technical resistance at the July high of 274.75
cents. The next downside price breakout objective
for the bears is closing prices below solid
technical support at 250.00 cents a pound. First
resistance is seen at today's high of 267.30 cents
and then at 270.00 cents. First support is seen at
262.50 cents and then at 260.00 cents. Wyckoff's
Market Rating: 5.0

December cocoa closed up $46 at $3,035 a ton.
Prices closed nearer the session high and hit a
fresh three-week high today. Short covering was
featured. The key "outside markets" were bullish
for cocoa today, as the U.S. dollar index was
weaker and crude oil prices were higher. Cocoa
bears still have the overall near-term technical
advantage. The next upside price breakout objective
for the cocoa bulls is to push and close prices
above solid technical resistance at $3,100. The
next downside price breakout objective for the
bears is pushing and closing prices below solid
technical support at the August low of $2,900.
First resistance is seen at today's high of $3,057
and then at $3,100. First support is seen at $3,000
and then at today's low of $2,975. Wyckoff's Market
Rating: 3.5.

December cotton closed up 397 points at 107.82
cents today. Prices closed near the session high
today, closed at a fresh five-week high close, and
saw short covering and bargain-hunting buying. The
key "outside markets" were bullish for cotton
today, as the U.S. dollar index was weaker and
crude oil prices were higher. The bulls regained
upside near-term technical momentum today. A
bullish double-bottom reversal pattern has formed
on the daily bar chart. Look for higher volatility
in the cotton market. The next downside price
breakout objective for the cotton bears is to push
prices below solid technical support at 100.00
cents. The next upside price objective for the
bulls is to produce a close above solid technical
resistance at the August high of 108.62 cents.
First support is seen at 105.00 cents and then at
today's low of 102.88 cents. First resistance is
seen at 108.62 cents and then at 110.00 cents.
Wyckoff's Market Rating: 5.0.

September orange juice closed up 455 points at
$1.7775 today. Prices closed nearer the session
high today and saw more short covering and bargain-
hunting buying interest. Recent price action hints
the market did put in a near-term low last week.
FCOJ bears still have the slight overall near-term
technical advantage. The next upside price breakout
objective for the FCOJ bulls is pushing and closing
prices above solid technical resistance at $1.8500.
The next downside technical breakout objective for
the FCOJ bears is to produce a close below solid
technical support at $1.6750. First resistance is
seen at today's high of $1.7930 and then at
$1.8000. First support is seen at $1.7500 and then
at today's low of $1.7315. Wyckoff's Market Rating:
4.5.

September lumber futures closed down $2.00 at
$227.50 today. The bears have the overall near-term
technical advantage. The next downside technical
breakout objective for the lumber bears is pushing
and closing prices below solid technical support at
last week's contract low of $213.90. The next
upside price breakout objective for the bulls is
pushing and closing prices above solid technical
resistance at $240.00. First resistance is seen at
today's high of $229.80 and then at this week's
high of $233.00. First support is seen at this
week's low of $225.00 and then at $222.50.
Wyckoff's Market Rating: 1.0.

Read More at TraderPlanet.com »