August 28, 2012 Update: Still Holding Position In December 2012 Coffee

 

 

 

Even though December 2012 Coffee prices have moved a bit higher this week, I am still holding my position in this market which is holding a December 2012 Coffee 140 put option. For one thing, the trade is still within my risk perimeters. Also, this market seems to have encountered some resistance at the 168 cent level. Finally, this market seems to be drifting with the light volumn of this pre-Labor Day week. With more trading volumn coming back into the market next week, I will be looking for this market to test and even break through support at the 160 cent level. If that happens, then I believe that there will be a good chance for the market to move to my target of 153.30 cents.