Home / Knowledge / News / Textiles / Cotton futures & options see extremely thin trading
Cotton futures & options see extremely thin trading
29
Jul '08
Extremely thin trading session on Monday as the estimated volume was only a little over 5,000 contracts in futures and less than 5,000 contracts in options. Overnight session was choppily traded around the unchanged area as traders waited for fresh market news to trade on.

Early options trading was featured by close to 1,300 lots December contract 72/80 put spreads being sold at 465 points. As Chicago market re-opened at unchanged to a little better, cotton continued its slow pace but generally traded to the downside. The official low at 73.75 basis Z'08 came at noon and the settlement was posted at 65 points lower, near low of the day.

It looks like the summer lull keeps dragging along, and trading is not getting much more exciting any time soon. The uncertainties in the market has kept the trading volume low, which in turn fails to create momentum to push market out of the near term sideways trading range. India is reported to have received good amount of rain during the weekend, which will contribute greatly to helping crops do most of the catching up.

As per the traders commitment report, Non commercials further reduced their net long positions in cotton, which is now a mere 3,548 contracts net long in futures and options combined, down a whopping 11,000 contracts from a week before. Commercials have also slightly increased their longs and reduced their shorts.

NYF cotton ended last week with some positive trading days. The higher lows and higher highs, as well as the strong finish at end of each session slightly improved the near term technical outlook. However, it's still lacking good trading volume to back it up. It feels like the market is trying to test out a short term bottom and create a break out indicator of the sideways trading range.

MACD has crossed and RSI is closing on the neutral 50%. We are now at the top of the current trading range, and the range bound is still likely to last into the near future. We'll have to keep our patience in search for a breakout signal.

Click here to view more:

ECOM USA Inc

Must ReadView All

Courtesy: AWI

Textiles | On 20th Jan 2017

Australian wool EMI at highest ever level in Au$ terms

The Eastern Market Indicator (EMI) managed to forge ahead by a...

Textiles | On 20th Jan 2017

Bangladesh could earn $60 billion in exports by 2021

Bangladesh is expected to earn over $60 billion in exports by the...

Apparel/Garments | On 20th Jan 2017

Fashion etailer Fynd to offer Yepme product offerings

Online fashion retailer Fynd has signed a partnership with Yepme,...

Interviews View All

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Mark Paterson
Technical Absorbents Ltd

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

Eric Scholler
Groz-Beckert

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

Judy Frater
Somaiya Kala Vidya

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

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

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
January 2017

January 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