Monday, November 22, 2010

Trend change in Sugar

I think today's price action in sugar signifies that the top is in.  

On 11/11/2010, the sugar market closed down from an intraday high of 33.39, closing at 29.15 (intraday low as 29.05).  The next day sugar spent the day selling off (barely made a new high of 29.20) and closed near the lows at 26.30 (25.56 intraday low).  This week sugar consolidated, slowly moving higher and testing the close on 11/11/2010 (29.15).  Today (11/19/2010), sugar tested this high (intraday high of 29.30) and sold off, closing at 26.20.  The price action signals not just a rejection but a significant rejection of the high. 


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