Markets

NY coffee may break resistance at $1.6705

Published November 4, 2016 Updated November 4, 2016 07:25am

SINGAPORE: New York Dec. coffee may break a resistance at $1.6705 per lb and rise more towards the next resistance at $1.7090, as suggested by its wave pattern and a Fibonacci projection analysis.

These resistances are identified respectively as the 76.4 percent and the 86.4 percent Fibonacci projection levels of an upward wave C, the third wave of a three-wave cycle from the March 1 low of $1.1940.

This wave failed to overcome the barrier at $1.6705 at its first attempt on Oct. 28, however, it may succeed this time, after an accumulation of strength. A drop to $1.64 could be extended to $1.6150.

Copyright Reuters, 2016