End of rally for Cocoa: After four consecutive up days it closed down 0.64% yesterday

Yesterday at a glance: CME Cocoa draws back 0.64% to close at $3,241 per metric tonne yesterday.

Amid the market gloom, United States CFTC Nasdaq 100 speculative net positions released yesterday at 20:30 UTC with a figure of 15,700, while the previous figure was 8,800. United States CFTC S&P 500 speculative net positions came out at -331,400. United States CFTC Crude Oil speculative net positions released yesterday at 20:30 UTC with a figure of 155,100, while the previous figure was 172,400.

Trend analysis indicates that investors are seeking long positions as Cocoa price action surged above +100 — a key CCI threshold indicating an imminent bullish trend. According to momentum evaluation, according to technical analysis of Cocoa's Relative Strength Index (RSI), the market is currently overbought. Asset volatility analysis shows that Cocoa's upper Bollinger Band® is at $3,278 which indicates a further downward move may follow.

Overall, while the Cocoa future has been on an uptrend, technical indicators suggest that it has no obvious direction for the immediate future.

CME Cocoa's value drop coincided with the fact that Coffee lost 0.85% yesterday and closed at $182.95.

Though Cocoa has been dropping, other Softs have been performing better: Sugar ascends 1.4% yesterday and closed at $25.63.

The commodity has been trending positively for about a month. CME Cocoa now trading 22.04% above its 3-month low of $2,211.5.