A couple months back I suggested coffee was preparing for a downtrend. I believe that now, the downtrend is starting.
Everything that I said in that chart (You can find it in the related ideas section) still stands.
The bearish change in behavior is confirmed, the class A bearish divergence on the MACD lines, histogram and Force Index is confirmed. The candle pattern aligns with the bearish indicators, as we have a dark cloud cover followed by a gap down.
Considering how bearish the chart looks, I would say that a retest of the 100 level is likely, but as always, it is not good to go ahead and predict the end of the world. Important support areas stand at 150, 120 and further down at 100.
Monthly study of coffee
It is bearish!
Everything that I said in that chart (You can find it in the related ideas section) still stands.
The bearish change in behavior is confirmed, the class A bearish divergence on the MACD lines, histogram and Force Index is confirmed. The candle pattern aligns with the bearish indicators, as we have a dark cloud cover followed by a gap down.
Considering how bearish the chart looks, I would say that a retest of the 100 level is likely, but as always, it is not good to go ahead and predict the end of the world. Important support areas stand at 150, 120 and further down at 100.
Monthly study of coffee
