Originally published by AxiTrader
COCOA - The break below key support at $2000 confirms that the downtrend is resuming. Cocoa has extended losses today and we should see a test of the major support area between $1865 and $1875 fairly soon. It is likely that we will initially see a bounce there. However, the area is looking increasingly fragile and a break below would signal that a further decline towards $1500 will follow.
COFFEE struggled once again at the trendline resistance from the February high. However, the bounce off $136 was quite solid and short-term techs are mixed. Should Coffee break above the trendline and clear resistance at $142, it would confirm the triple bottom at $136 and pave the way for an extension of the rally to at least $146.
COPPER intraday volatility is solid, but the commodity is still stuck in a relative right range. Key support is now eyed at 2.5660, and that level is important for Copper bulls. Should it fail to hold, we should see a test of 2.4470 fairly soon. To the topside, decent resistance is seen ahead of the $2.70 level. For now, playing the range seems the preferred strategy.
GOLD broke above a major resistance level at $1263 on Thursday, but momentum faded on Friday and the precious metal tumbled today back to $1250. Nevertheless, techs remain positive and further gains seem likely. Watch the trendline support from the March low and the $1244 level. The major support area to keep an eye on is $1232-1235, but it seems unlikely that we will see a test of that one very soon.
NATURAL GAS is still looking bullish following that break above $3.10 resistance. Watch the rising trendline from the March low, which should act as decent short-term support. Overall, buying dips remains the preferred strategy in Nat Gas. $3.34 is still an obstacle, but the next significant resistance level now lies at $3.50 and the commodity should be able to reach it in the near-term.
SOYBEAN managed to hold above the key support level at $933, but the outlook is still negative. The support level looks fragile, and a breakout increasingly likely. Should it break sub-933, a move towards the 2015 low around $840 seems quite probable.
WTI is looking strong following the break above $52.50 resistance. This paves the way for a retest of the February high around $55.00. Expect strong resistance there, though. For oil traders looking to go long now, the former resistance area around $52.50 seems like an attractive area, should we see retest of it soon.
