COFFEE falls to lowest close since March 17th
Coffee (COFFEE) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, COFFEE finished the week -3.22% lower at 103.70 after losing $1.15 (-1.1%) today on high volume. Today's close at 103.70 marks the lowest recorded closing price since March 17th. Closing below Thursday's low at 104.20, the contract confirmed its breakout through the prior session low after trading up to $1.85 below it intraday.
Daily Candlestick Chart (COFFEE as at May 22, 2020):
Friday's trading range has been $2.80 (2.67%), that's below the last trading month's daily average range of $3.12. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for COFFEE.
Prices are trading close to the key technical resistance level at 105.50 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
With prices trading close to this year's low at 100.30, downside momentum might accelerate should the market break out to new lows for the year. Trading close to March's low at 102.10 we could see further downside momentum if potential sell stops at the level get triggered.
With four out of the other seven Commodity Markets closing lower today, the ones that stand out on the negative side are WHEAT losing -1.36% and CRUDE closing -1.03% lower. On the flipside the best performers have been NATGAS closing 1.5% higher and SILVER gaining 1.4%. Read more