I'm not really interested in what the news is or what the fundamentals are. All I know is that this chart is telling me if I was long I'd be very afraid. This continuous cotton futures chart shows a break down out of a head and shoulders continuation pattern with increasing spread and closing near its lows. The only saving grace could be the lack of volume but given this is a continuous chart that may just be a factor of he December contract petering out. I'd expect at least an 18.00 fall from here to around 77.00. If it can regain that lower boundary line shown on this chart and move above 105.00 I'd reconsider. But for now the path of least resistance is down.
No comments:
Post a Comment