Cotton Prices Look To Move Higher

Cotton Prices Look To Move Higher
Cotton Prices Look To Move Higher

Cotton Futures—Cotton futures in the December contract is trading higher by 87 points at 62.19 right near a 2 month high looking to break out of major resistance. I have been recommending a bullish position from around the 61.50 level as this trade has been very stubborn as I still believe higher prices are ahead and if you took the trade continue to place the stop loss under the contract low which was hit on August 26th at 56.59 as an exit strategy.

At the current time I have many bullish grain recommendations as I think cotton will start to follow as the crop progress report showed showed 77% of the bolls open in Texas (65% avg), with harvest at 25% complete.

Prices are trading above their 20 day but still slightly below their 100 day moving average standing at major resistance at 62.81 as that could possibly be broken in today’s trade so stay long and continue to place the proper stop loss.

The chart structure will improve in next week’s trade therefor the monetary risk will be lowered as the volatility remains low, but I don’t think that situation is going to last much longer. For the bullish momentum to continue prices have to break the September 13th high of 63.39 and if that situation occurs the next level of resistance is all the way at the 65 area.

TREND: HIGHER

CHART STRUCTURE: IMPROVING

VOLATILITY: LOW

 

If you  are looking to contact Michael Seery (CTA—COMMODITY TRADING ADVISOR) at 1-630-408-3325 I will be more than happy to help you with your trading or visit www.seeryfutures.com

TWITTER—@seeryfutures

FREE TRIAL FOR THE LIMIT UP COMMODITY NEWSLETTER

Email: mseery@seeryfutures.com

If you’re looking to open a Trading Account click on this link www.admis.com

 

There is a substantial risk of loss in futures and futures options. Furthermore, Seery Futures is not responsible for the accuracy of the information contained on linked sites. Trading futures and options is Not appropriate for every investor.