Sugar Analysis October 2016 (D)
Created on Saturday, 01 October 2016 02:00
Written by Austin Galt
Sugar has traded higher and it looks like the final burst before a significant correction. Let’s update the daily chart.
SUGAR DAILY CHART
The Bollinger Bands show price may be starting to leave the upper band now although I haven’t ruled out one last lash at it.
The Fibonacci Fan shows this move higher was stopped by resistance from the 23.6% angle and another crack at this angle is not out of the question.
The RSI made a new high and I would prefer to see a bearish divergence set up.
The MACD indicator is showing a bearish divergence and looks to be in the process of making a bearish crossover.
So, despite this recent surge high, I still expect a correction is on the cards.