Good morning,
Wishing a happy Easter Monday to those who observe.
It’s fully Spring here now and by the end of the week we might get our first taste of Summer. Nice time to come and visit the Northeast everything is coming back to life. Come share a cold brewed Yirga with us this morning as we too come back with a great coffee.
A very interesting week with just about each day a little higher high than the day before. We’re now challenging the 200 day moving average at 186.46 as important resistance. A break of that should bring in spec based buying and lead to a market around 195 or so.
The Commitment of traders report issued on Friday April 7 for trading as of Tuesday April 4 showed long funds actually sold 2370 lots to be long 20,310 lots and short funds sold 595 lots and are now short 20,652. Roasters were the best buyers in the time period.
ICE Stocks totaled 730,659 bags down again a little, the pace has definitely slowed. There is still nothing pending grading.
Brazil Real and Colombia Peso maintained their bullish pace against the dollar. The Real is 5.08933 and the Peso is 4585.6. The dollar was generally weaker this week against most major currencies.
We’re in the top end of the range we’ve been touting for some time now. Just as the market looked like it was going to fall apart when it was down near 17000 recently, it looks for all the world like it’s about to run through the top end up here. We still think you can challenge the market here with stops at the 200 day MA.
Speaking of Yirga, we have a fresh box of Organic Ethiopia Yirgacheffe Washed Grade 2 that arrived on Friday, we’re waiting on Continental to go and get it. It was really nice in the pre-ship sample. This is from our good friends at Dumerso, a women’s owned exporter who does really great work preparing coffee for us. The coffee showed bright citrusy acidity, some floral notes, and a balanced sweetness that we love in this type. Please let your trader know if you’d like to have a sample once the coffee is in the warehouse.
If we can be of help, please let us know.
All the best,
The Armenia Team