Home / Knowledge / News / Textiles / Cotton remains stuck in intraday trading range
Cotton remains stuck in intraday trading range
19
Aug '08
After a volatile week which ended on fresh lows, we started this week off on light volume in a narrow trading range. After potential threats from Tropical storm Fay faded and West Texas received very beneficial rains over the weekend, the market was quiet as demand remains hand to mouth.

We are in a quiet part of the season as we wait for follow through support to come from outside markets. However, looking at the light volume with futures and options under 10,000, we continue to trade sideways to lower.

The spec hedge shows the position remains flat as we moved to .9% long from 1.6% short last week and open interest remains under 220k. The USD will be the most significant factor over the short term as we wait to see if this commodity correction can hold.

See a recent chart on page 3 in attached PDF where we analyze the break in the long term downside trend channel. Cotton remains stuck in the intraday trading range from Friday (67.01-69.41) and we could be setting up for another sideways trend channel.

Technicals continue to look negative as specs seem to have a lack of interest in cotton. We could get a few more bounces on the over sold technicals down the road, but based on the performance of the dollar recently, this correction in commodities feels like it may have started a long term move downward.

Considering the index funds started reducing their positions and the noncommercials have been coming down steadily over the last several months, the trend remains bearish for now.

Click here to view more:

ECOM USA Inc

Must ReadView All

Textiles | On 16th Jan 2017

India’s WPI inflation rises to 3.39% in December 2016

India’s annual rate of inflation, based on monthly wholesale price...

Apparel/Garments | On 16th Jan 2017

EC proposes enhanced market access for Sri Lanka

The European Commission (EC) has proposed that a significant part of...

Textiles | On 16th Jan 2017

Producing contamination free cotton biggest task: CCI

Producing contamination free cotton is the biggest task for the...

Interviews View All

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Kerem Durdag
Biovation II LLC

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

Judy Frater
Somaiya Kala Vidya

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

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

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