Coffee Traders' Forum - A Discussion about Coffee Futures Trading

Coffee Traders Discussion Forum

Coffee Traders' Forum

OI/Market *PIC*

For a market that isn’t showing much volume or volatility, both implied and actual, the increases in the OI are dramatic. The total has increased by 18,663 lots for the COT reporting period which will be released on Friday, and not tomorrow as I had said in an earlier report. The Dec OI has increased by 10,567 lots. The difference between the total and the Dec is 8,096 new lots long in months more distal than Dec. In part, at least, these forwards are new commercials and very possibly roaster/merchant purchases. It is very interesting to see what the composition of the increases is. I tend to think that the large increases are bullish but it may depend on what percentage of the buying is non-commercial and long term. Presently the market has broken through the 125.00 area and is being pressured by systems and possibly others. Bids however are not decreasing. The Arb is 35.24 and the NovJan is 30 premium after a high of 39. BRL is 3.1329 -.0128. TAS is showing a total of 332 lots to sell.