Sugar No.11 prices held below the weekly 200 period moving average last week, topping out at 1353.6 (1) as Smart Money Hedgers added to their already large short positions, reaching an extreme (-291797.00 contracts). 50% fib, taken from the Feb highs and April lows of this year junction nicely with rising wedge support at (2), a convincing break below support will most likely see Sugar prices decline further down to the 1130/40 support zone over the short-medium term as a first target to watch out for.
Alternatively, if support holds at (2) the bulls will attempt to recapture 1353.6 followed by 1400.0 and 1420/30s in extension where another good selling opportunity could introduce itself.
Alternatively, if support holds at (2) the bulls will attempt to recapture 1353.6 followed by 1400.0 and 1420/30s in extension where another good selling opportunity could introduce itself.