Home / Knowledge / News / Textiles / Cotton prices show an oscillating trend
Cotton prices show an oscillating trend
20
May '08
Despite cotton's strong close on Friday above key moving averages, prices labored in early trading. Bulls seemed to be kept at bay by an early morning order to sell 700 plus July showing on the screen at 7200.

Midmorning, after backing off only slightly, prices started to slip a bit and suddenly caught most traders off guard as sell stops were triggered finding a void of bids. Prices sold off 170 plus points from the early highs.

Exactly what prompted the sell off was not at all clear. Traders assumed weak soybeans, firm US dollar and favorable weather forecasts probably all played a part but the sell off was fast, furious and mostly technical.

One batch of sell stops when 7160 was broken but when the early morning lows of 7134 fell, prices dropped 100 points in less than 2 minutes. Buyers quickly tried to take advantage of the drop but for the most part were too late and were forced to chase values.

Prices spent the remainder of the session recovering the losses. Despite the fast, fleeting sell off, cotton futures settled only 4 to 15 lower on the day and within 9 to 15 points of their early highs.

Technically, buy stops will be found above the 7243 high of May 1st with sell stops below last weeks 6955 low.

The bottom line, is we are still stuck in the range of the last three weeks, but today's impressive recovery reinforces two points. First, the necessity for potential buyers to be ready at all times, having their orders in place or risk being left at the gate and secondly, that despite the bearish fundamentals, the bulls are not ready to give up and have the buy stops above 7250 in their cross-hairs".

Must ReadView All

Courtesy: Ikea

Textiles | On 26th Apr 2017

Ikea’s product sourcing from India to double by 2020

Ikea, the global home furnishing giant from Sweden, plans to double...

Textiles | On 26th Apr 2017

CITA to add insufficiently available fabric in CAFTA-DR

The Committee for the Implementation of Textile Agreements (CITA) has ...

Courtesy: SKF

Textiles | On 26th Apr 2017

SKF brings predictive maintenance for machinery to India

SKF India, a global supplier of bearings, seals, mechatronics,...

Interviews View All

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Sonia Agarwal
Whitenife

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

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Ritu Kumar
Label Ritu Kumar

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

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

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

news category


Related Categories:
April 2017

April 2017

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

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search