Chocolate prices in flux

There was a wicked daily bearish reversal in Cocoa trading today.

This should translate into a bearish weekly reversal.

Two months ago I highlighted the ‘rare air’ that Cocoa was trading at.

Cocoa is trading in rarefied air

Corresponding within that June 2023 note, today’s closing price of Cocoa is 35% above its 200 week moving average.

While today’s intra-day high was 42% above the same mean.

While the Cocoa production is in deficit, stockpiles have grown and rising prices are curbing demand.

August 7, 2023

by Rob Zdravevski

rob@karriasset.com.au