Commodity traders stay bullish as ICE Cotton adds 95 cents or 1.17%

After closing the previous trading day at $82.05, Cotton is up to $83 per pound, which makes for a move of 1.17%/95 cents today.

United States Fed Chair Powell testimony is next today at 14:00 UTC.

Meanwhile, United States Building Permits (May) came out at 1.49 million, while a consensus of analysts was expecting 1.43 million. Data for United States Housing Starts published yesterday at 12:30 UTC came out at 21.7%, beating projections of -0.8% and showing improvement over the preceding figure of -2.9%. United States Housing Starts (May) released yesterday at 12:30 UTC with a figure of 1.63 million, while the previous figure was 1.34 million.

Bollinger Band® analysis indicates that current price action is approaching the upper band at $86.44, thereby suggesting that Cotton is becoming overvalued.

Examining the technical analysis landscape, ICE Cotton is likely to reverse course and start pointing downward in the short term.

At the same time, Sugar closed at $25.9 (down 0.5%). Cocoa descends 0.65% to trade around $3,190.

Moreover, macro data could boost sentiment further as United States Initial Jobless Claims is projected to outperform its last figure with 260,000. It previously stood at 262,000; data will be released tomorrow at 12:30 UTC.

Also worthy of note, projections for United States Crude Oil Inventories are set for a continuation of decline with 1.87 million while previous data was 7.92 million; data will be released tomorrow at 15:00 UTC.

The market is looking forward to the release of new data: United States Existing Home Sales (May) is scheduled for tomorrow at 14:00 UTC.

Trading mostly sideways for 3 months. Over the past a year, the Cotton future has retreated 42.83% from a noteworthy peak of $143.51.