Cocoa's overall trend, revealed by trends of price, leverage, and time, are defined in the Matrix for subscribers.
Cocoa Name Column
Cocoa flipped up in October. After the computer laid out the probabilities for the primary trend Flip, I suggested that the total setup was off (not right). Cocoa is more likely to sustain an upside breakout with a proper energy build. Fast-forward a few weeks, the Matrix is reporting that Cocoa is a Flip in progress (Fip) down.
Cocoa is trying to work through a mismatch between primary trend flip up in October, and heavy participation bullish energy build. The latter reduced the odds that price could 'jump the creek'. Cocoa remains in cause building until the setup changes. We will be watching energy closely this week. Price collapse through Tuesday, so the invisible hand's intentions will be revealed into the decline.
I could do Cocoa Report to better describe the setup for those interested.
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