Trading in Sugar futures over the last several weeks has formed a beautiful Triangle chart pattern, shown here on the lengthy 240-minute time interval. The Triangle, which narrowly managed to execute a breakout signal at the end of last week's price rally, may represent a successful basing pattern at a major support level for this market in the long term technical picture.
Because of the long time duration for the Triangle's development, as well as the very strong internal readings presented by Autochartist, the performance of the market from the current breakout level may prove to be even more reliable than that of lesser developed or shorter timeframe Triangle chart patterns.
The breakout signal cam with a soft initial momentum reading of only 3 bars, as it managed to close only slightly above the major trend line resistance level seen at 32.30 cents per pound. However, the market closed at the highs of the move and may see rapid follow-through after the weekend pause in trading. Price target forecasts from the breakout project Sugar could reach a minimum of 34.23 cents, with an upside of 36.66 possible as well.
For further information on this and other Autochartist products, visit our website at www.autochartist.com