NY coffee to rebound to $2.5120/lb
SINGAPORE: New York coffee is expected to rebound more to $2.5120 per lb, as it has successfully broken above a descending trendline.
The trendline originated from the July 7 high of $2.7190, and has kept firm until last Friday, when coffee managed to climb above it.
The break is significant as it has opened the way to $2.5120, a high touched on Aug 5 in the first attempt of the contract to stand above the trendline.
A fall below a support at $2.4230 would invalidate the bullish outlook.
No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.
Copyright Reuters, 2011
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