Originally published by AxiTrader
WTI broke back above $52 and is marching towards key resistance at $52.85. A clear break above that level would then pave the way for an extension of the rally towards at least $54. Techs are bullish, and further gains seem likely in the near-term. To the downside, expect solid support around $52.80.
COCOA is still struggling with heavy resistance at $2085. Bulls are still waiting for a clear break above that level, which could then lead to a short squeeze. The next notable resistance would then lie at $2185. For support, keep an eye on the rising trendline from the July low.
COFFEE is trading within a descending channel, and the short-term outlook is still negative. Resistance at $140 proved to be too strong, and the double top pattern there suggests we will see a test of $110/112 again in the near-term. Traders looking for short opportunities might want to keep an eye of $132.
COPPER had another major breakout. Resistance at $3.20 was cleared and the commodity is likely to test $3.30 soon, which is where the 50 % Fibo of the 2010-2015 decline lies. Copper could struggle there on the first test, but should be able to eventually clear it as momentum remains strong.
NATURAL GAS failed once again at the 200 DMA and is likely to test trendline support from the August low soon. A clear break below the line would then pave the way for a test of $2.70. Overall, selling rallies remains the preferred strategy and traders could keep an eye on the 21 DMA around $2.94 for immediate resistance.
SOYBEAN had a major rally last week and while the downtrend remains intact for now, there is potential for a further recovery. A clear break above $1000 resistance could signal that a move towards $1080 could follow – although traders must expect imminent resistance around $1035.
