COTTON FUTURES

With price bullish and India to cut the inflow of cotton to equilibrating the flow of price.... we are seeing an increase in demand. however this cut is just for a limited period with major clothing companies on the IND50 index forecasting some slow in sales on cotton products. this will restrict the flow or goods. tariffs can also be catalysts as well as high levels of demand with high level of supply confirmed by cotton farmers.
this fundamental case I see as a catalyst to affect price in the future... link below timesofindia.indiati...cleshow/68383204.cms

From a technical perspective I am entering small positions and monitoring price at current levels. over all picture is showing influx of supply as well with long term targets to the demand zones for risk reward posted in above chart. lets see how the next couple of weeks play out for this short where we will have another long opportunity once this short completes. until then its patience and we will see how this plays out.

Comment:

Expecting price to start moving to the down side. good call we held and allocated more shorts at the golden ratio levels.. $71.62 is the first point of call before we see final demand levels being met.

Trade active:

as expected price has since pushed down more. my fundamental thesis still rest as the same. currently risk free of this trade and waiting for demand structures to be breached at the $70 mark ... great trade this is. been holding for nearly 2 months but paying off. patience

Trade closed: target reached:

Another analysis met. a mixture of both fundamentals and technicals has come to fruition with precision.. a very solid trade. took a while but patience got us there. congrats to all those who took this set up