Authored by Vittoria Onufrio, Senior Broker, Halifax America

Let’s take a look at the following spread KCZ17-KCH18 (Coffee spread)

The Spread Indicator entered the overbought level. The indicator crossed above 80 suggesting that the December 2017 Coffee contract is weaker than the March 2018 contract. I would consider selling Coffee December 2017 and buying Coffee March 2018 before the closing of the market, setting my stop loss to $200.00.

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Please, if you want more insight news, feel free to contact me atvonufrio@halifaxamerica.comor go to the following websitehttp://www.insidefutures.com/articles/out.php?a=2052617&u=http%3A//www.vonufrio.com/

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