December Coffee rallied from a low of 235.30 to a high of 290.85 in eighteen days. The rally ended when Coffee reached the confluence of resistance–where the upward sloping median line intersected with the downward sloping parallel line–during a cluster of projected reversal dates. Since then, the market has plunged over 2500 points. Coffee could do a little back filling before resuming the new downward trend towards the downward sloping median line. This is a great example of how understanding action/reaction and market structure and benefit any trader. To learn more go to www.tradernetwork.com and sign up today.
December Coffee
