Coffee and O.J. tank

As featured in my latest weekly edition on Macro Extremes, Coffee and Orange Juice were touching ‘weekly’ Overbought ‘extremes’……

These commodities have declined 14% and 10% respectively over the past 4 trading sessions.

It’s not easy calling a reversal in trend but when prices rally sharply and somewhat parabolically, probability of a decline or mean reversion increases.

It does help tell you one thing… careful initiating a Long when ‘weekly’ Overbought extremes are being registered.

August 3, 2021

by Rob Zdravevski

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