SINGAPORE: New York March sugar may break a support at 13.97 cents per lb and fall more towards the next support at 13.61 cents, as indicated by its wave pattern and a Fibonacci projection analysis.
The contract could be riding on a wave a, the fifth wave of a double-zigzag from the Dec. 4, 2015 high of 15.85 cents. Based on the length of the preceding wave c, which started at the Dec. 31, 2015 high of 15.44 cents, a Fibonacci projection analysis reveals a target at 13.61 cents, the 100 percent level.
This target will be confirmed when sugar breaks the nearest support at 13.97 cents, the 76.4 percent level. Resistance will be at 14.19 cents, the 61.8 percent level, a break above which could lead to a gain limited to 14.36 cents, the 50 percent level.
Comments
Comments are closed.