Chart of the day

Cocoa is reaching the new high

Cocoa is reaching a new high of a 10-round number. After a strong upside run, we can expect a bit of a struggle here and a possible rejection for a deeper pullback and a correction that is needed,

A break below 10 is now required for a deeper correction and a reversal lower. A confirmed extension of higher above 10 will lead to new highs and a parabolic run higher to 12 and possibly higher.

15 days chart Cocoa

As I see that broadening wedge formation is shaping up look for the short trades here with the stop loss above 11.100. Long trades you can take in the case of a confirmed price action break above 11.

Cocoa trade setup

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