Breakfast Report - Cocoa Sugar Coffee OJ

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Cocoa (May)

Technicals: The Trend trading system triggered a short on Feb 28th at 2671 and has a stop close only at 2278***

Settle: 2285

OTE Unrealized Profit/Loss: $3870

Bias: Bearish/Neutral

Previous Session Bias: Bearish/Neutral

Resistance: 2334(18 EXPMA)***, 2461****(40 EXPMA)

(EXPMA = Exponential Moving Average)

Pivot: 2200**** Parabolic stop and reversal

Support: 2200 (recent swing low)***, 2183 ****

ADX: 33.52 = Still a very strong trending market however the strength of the downward trend is weakening.

200 DMA: 2601

Fundamental Comments: Asian Demand should see the first recovery as they are moving past the virus. Once we see a rebound in risk sentiment, U.S. equities and European, we can most likely see that bounce occur. Watch for short covering start to trigger.

Previous Fundamentals through out the week below

This economically sensitive commodity should see some selling pressure as the day goes on. Watch for a test of the key support levels before another bounce.

The market appears to be making a small double bottom with solid support in the 2200 range. Look at tightening up stops if you are short and consider punting to the long side with calls on a breakout over 2310.

Sugar (May)

Technicals: The Trend Trading system established a short on March 2nd at 13.81 and the buy stop is at 12.35


OTE Unrealized Profit/Loss: $3942.40


Previous Session Bias:Bearish/Neutral

Resistance: 11.26(18 EXPMA)***, 12.24****(40 EXPMA)

(EXPMA = Exponential Moving Average)

Pivot: 11.55**** Parabolic stop and reversal *The market has continued to weaken and

Support: 10.00 (Critical Support)***,9.87**** (downside objective)

200 DMA: 13.12

Fundamentals: Finally something that may turn this market around. It did come close to hitting my objective. With Saudi Arabia and Russia cutting 10 Million barrels per day in crude oil production we may see some new demand for ethanol.

Previous Fundamentals through out the week below

The market is tracking equities lower and now expecting a global surplus due to the weaker demand outlook.

Coffee (May)

Technicals: The Trend Trading system established a Long on Mar 23rd at 121.25 and the sell stop is at 106.72 Settle:116.00

OTE Unrealized Profit/Loss: $-712.50 (The trade was up substantially with the high equity being on March 26th at 130.65. This was a gain of $3525 and remember as a rule of thumb you should never give up 70% of your meaningful equity.) Bias:Bullish/Neutral

Previous Session Bias:Bearish/Neutral Resistance: 122.45 (Previous recent high)***, 130.65 (break over this level would threaten 145!)**** (EXPMA = Exponential Moving Average) Pivot: 115.40*** Parabolic stop and reversal Support: 116.69 (18 EXPMA)*** 114.63(40 EXPMA)**** we are now just above these critical support levels 200 DMA: 110.64

Fundamentals: Market remains volatile, questions surrounding Luckin Coffee's sales figures after that stock collapsed yesterday, trading down to $3.74 a share. Feb coffee exports were better than last year. Maybe everyone is sitting around drinking coffee and stocking up rather than hitting up your local Starbucks?

Previous Fundamentals through out the week below End users are grabbing more inventory than necessary (stockpiling) in order to ensure product for consumers. Watch out for supply chain issues from Brazil hence adding support.

The market has had better supply/demand fundamentals with Starbucks coming online in China and with most U.S. operations still running a takeout system, it appears that coffee still has a good backdrop. I

f your going to play this market, it is somewhat choppy and the Average True Range is 6.85. This means that on the average day the market should move 6.85 X $375 = $2568.75 so be careful.

Orange Juice (May)

Technicals: The Trend Trading system established a Long on March 20th at 105.70 and the sell stop is at 102.73

Settle:116.00 OTE Unrealized Profit/Loss: $1567.50 Bias:Bullish/Neutral

Previous Session Bias:Bullish/Neutral Resistance 122.55 (Recent Swing High)***, 131?!?****(blow off top from March 18th 2019) (EXPMA = Exponential Moving Average) Pivot:114.09**** Parabolic stop and reversal Support: 107.35 (50% retracement from recent high to previous low)***102.74*** (200 DMA) 200 DMA: 102.74

Fundamentals: We maybe approaching peak virus demand as shelves are being restocked. If you are long this market, Trail your stop and or use a close below the 50% retracement as a risk management plan. Remember easy come easy go and markets tend to fall twice as fast as they rise.

Good luck and good trading, Phillip Streible Chief Market Strategist 312-858-7303 Follow us on Twitter:@BlueLineFutures Follow us on Facebook: Blue Line Futures Facebook page Subscribe to our YouTube channel: Blue Line Futures YouTube channel

If you have any questions about markets, trading, or opening an account please let us know! You can email us at or call 312-278-0500 Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.

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