November orange juice (OJX25) futures current a shopping for alternative on extra worth power.
See on the day by day bar chart for November frozen concentrated orange juice futures (FCOJ) {that a} uneven worth uptrend line is in place. The bulls have the general near-term technical benefit.
Basically, FCOJ costs are rising as a result of declining world orange provides as a result of citrus greening illness in Florida and drought in Brazil. Regardless of a long-term decline in general orange juice consumption, the numerous lower in orange provide has been unable to satisfy the lowered demand.
A transfer in November FCOJ futures costs above chart resistance at $2.60 would give the bulls extra energy, suggesting extra worth upside, and it might additionally turn out to be a shopping for alternative. The upside worth goal could be $3.1000, or above. Technical help, for which to position a protecting promote cease slightly below, is situated at $2.4000.
IMPORTANT NOTE: I’m not a futures dealer and don’t handle any buying and selling accounts aside from my very own private account. It’s my purpose to level out to you potential buying and selling alternatives. Nevertheless, it’s as much as you to: (1) determine when and if you wish to provoke any trades and (2) decide the dimensions of any trades chances are you’ll provoke. Any trades I focus on are hypothetical in nature.
Here’s what the Commodity Futures Buying and selling Fee (CFTC) has mentioned about futures buying and selling (and I agree 100%):
Buying and selling commodity futures and choices just isn’t for everybody. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Earlier than you make investments any cash in futures or choices contracts, it’s best to think about your monetary expertise, targets and monetary sources, and know the way a lot you’ll be able to afford to lose above and past your preliminary fee to a dealer. You need to perceive commodity futures and choices contracts and your obligations in getting into into these contracts. You need to perceive your publicity to danger and different facets of buying and selling by completely reviewing the chance disclosure paperwork your dealer is required to present you.
On the date of publication, Jim Wyckoff didn’t have (both immediately or not directly) positions in any of the securities talked about on this article. All info and information on this article is solely for informational functions. This text was initially printed on Barchart.com
