NY cocoa to test support at $3,036

SINGAPORE: New York September cocoa is expected to test a support at $3,036 per tonne, as it has cleared a support at $3,061.

These supports are identified respectively as the 61.8 percent and the 50 percent Fibonacci retracements on the uptrend from the June 30 low of $2,956 to the July 15 high of $3,166.

The bears could have gained a strong bearish momentum on the fall from $3,166. The fall may at least extend to $3,036, the 61.8 percent level. A drop to $3,030 could confirm a break below $3,036, and the next support at $3,006, the 76.4 percent level, will be targeted.