Home / Knowledge / News / Textiles / Cotton market touches new highs
Cotton market touches new highs
27
Feb '08
Wheat locked up the limit again overnight and fed a mini rally in the other grains and cotton as we made new highs, but came off on the open outcry start this morning. Beans, corn and wheat almost got back to unchanged, while cotton found support at 150 pts lower.

However, the fund and spec buying was ready to catch the drop and pushed everything back up to test the highs as we traded in a volatile 300 point range. Volume was strong again today with 51,000 futures and 41,000 options as the K'08 set a new record high close.

There are rumors that sales later this week will be strong again as China was an aggressive buyer on the break after Chinese New Year. We have now reached levels that make new sales very difficult and offers are now based on K'08 which is over 10 cents higher than the last business that was done.

We are reaching overbought signals from record high volatility, open interest, spec-long position, cert stocks, unredeemed loan cotton and a relative strength index in the mid 70's. However, wheat managed to close up the limit again and the dollar index fell to record lows which should keep the upside momentum in place for now.

Technically, we have broken all upside resistance targets and are feeding off bullish commodity sentiment. May set new record highs as we are now reaching a relative strength index at 76 and into overbought territory. The market is trading at 4 year highs and finding very few sellers scale up.

May has now rallied 10 cents from the low set only 2 weeks ago. General market mood is bullish on technicals and outside commodities market. We will have to see a pull back in the grains before cotton will have a chance to correct. Demand will certainly slow down in the short term, but fundamentals are no longer in charge.

Click here to view more:

ECOM USA Inc

Must ReadView All

Courtesy: American Apparel

Apparel/Garments | On 25th Feb 2017

Gildan to make some American Apparel products outside US

Gildan Activewear, which recently acquired US fashion brand American...

Courtesy: Kolon Sport

Apparel/Garments | On 25th Feb 2017

Kolon Sport to set up JV with ANTA for Chinese market

Kolon Sport, an outdoor gear and clothing brand of Korea based Kolon...

Designer Karishma Jumani with Niraj Jawanjal, founder and director of IIFW. Courtesy: IIFW

Textiles | On 25th Feb 2017

IIFW to bring together premium lingerie brands

India Intimate fashion Week (IIFW), dedicated to showcasing the...

Interviews View All

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Evelyne Cholet
UCMTF

‘France had a reputation of being big in new ideas, but poor in marketing...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search