Sugar's overall trend, revealed by trends of price, leverage, and time, defined and are discussed in the COT Matrix for subscribers.
Sugar's focused bull opportunity has generated an impressive 22% annualized return for the bulls from the third week of March to first week of December (see CANE Matrix). This opp recorded a 94% annualized return after the first week of June. Disciplined bulls that withdrew their initial investments when BuS >0 let their profits run while keeping an eye on TIME and trend energy.
Smart money, a small minority listening to the message of the market, recognize the decay of TIME as BuST rises above 0 and approaches 2. BuST = 1.3 had disciplined bulls prepared for a reversal while the majority remained blindly bullish.
Sugar has been in consolidation (C/P) since the first week of December. Traders are watching from the safety of the sidelines until the trend refocus (see Matrix).
A weekly close above the September 2016 gap from 14.25 to 14.35 supports the up impulse, while a close below the January gap from 13.00 to 13.25 could reverse it. A reversal supports the testing of lower support.
On Balance Volume (OBV), a crude measure of trend energy, has been lagging price since late 2015. OBV's lower highs relative to price, a negative divergence, suggests distribution that supports the bears.
Market-driven money flow, trend, and intermarket analysis is provided by an Insights key.