Coffee Traders' Forum - A Discussion about Coffee Futures Trading
Coffee Traders Discussion Forum
The May OI finally dropped below 100k. Many spreads were rolled but we have other activity taking place. There is obviously outright short covering and long liquidation. The momentum funds are not the ones covering. It seems that they are not only rolling their shorts forwards but they are now selling July new. Yet the market is weak because the intensity of the combination of their new selling and the long liquidation by everyone sectors is overbearing. The shorts have plenty of time to cover. No rush. MayJul is -1.85 bid and USDBRL is 3.4091 -.0096. EFP were also posted likely representing commercial liquidation of hedges on both sides against physical to avoid delivery on ICE.