The price of coffee is looking to turn. The chart of the coffee exchange trade note below paints the picture. After a drop from a double top in May 2018 coffee bottomed in September. It bounced from there rising to a lower high in October before reversing lower.
The pullback continued until the price of beans reached that September low, and then stopped. It held there for the back half of December and something started to change. The price started to make higher highs and higher lows, rounding out of a bottom. Will it become a double bottom, rising back over the October high and continuing? Time will tell.
For now the price clearing 39.50 would indicate a break out to the upside and with some resistance at 41.30 and 42 followed by 42.90 a possible trip to 47 in the cards. Momentum is building with the RSI on the edge of a move into the bullish range and the MACD about to turn positive. So go ahead and finish that cup of morning goodness, then look at having coffee help you in other ways as well.
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