Bullish ICE Cotton runs out of steam at $84.93; currently at $84.93 per pound

After closing the previous trading day at $82.42, Cotton is up to $84.93 per pound, which makes for a move of 3.05%/$2.51 today.

United States EIA Short-Term Energy Outlook is next today at 16:00 UTC.

At the same time, United States ISM Non-Manufacturing PMI (May) came out at 50.3, while a consensus of analysts was expecting 51.8. United States Services PMI released yesterday at 13:45 UTC with a figure of 54.9, while the previous figure was 53.6. Factory Orders in United States fell short of market expectations (1.1%) with a reading of 0.4%, continuing the decline from the previous figure of 0.6%.

Bollinger Band® analysis indicates that current price action is approaching the upper band at $88.14, thereby suggesting that Cotton is becoming overvalued.

Despite basking in an uptrend and bullish intraday sentiment, chart analysis indicates ICE Cotton is set for a reversal in the coming days.

A look at other Softs also shows upside as Cocoa rises 1.12% to trade around $3,060. Coffee is up 1.3%. Sugar is up 0.79%.

Also worthy of note, United States Crude Oil Inventories projected to come out at 1.15 million — worse than previous data of 4.49 million; data will be released tomorrow at 14:30 UTC.

Elsewhere, United States EIA Short-Term Energy Outlook is expected today at 16:00 UTC.

The commodity has been trending positively for about 2 months. 11 months ago the Cotton future reached a significant high of $146.62 but has consequently lost 43.79% since then.