{"id":150720,"date":"2019-07-02T10:51:05","date_gmt":"2019-07-02T14:51:05","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=150720"},"modified":"2019-07-02T07:00:05","modified_gmt":"2019-07-02T11:00:05","slug":"cotton-analysis-leaders-of-usa-china-agreed-to-resume-trade-negotiations","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/07\/cotton-analysis-leaders-of-usa-china-agreed-to-resume-trade-negotiations\/","title":{"rendered":"COTTON Analysis: Leaders of USA, China agreed to resume trade negotiations"},"content":{"rendered":"
July 2, 2019<\/div>
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By IFCMarkets<\/a><\/strong><\/p>\n

Leaders of the United States and China have agreed to resume trade negotiations<\/strong><\/p>\n

At the G20 meeting last weekend, Chinese Chairman Xi Jinping and US president Donald Trump agreed to resume trade negotiations between the countries. Will the Cotton quotations<\/a> increase?<\/p><\/blockquote>\n

The American president expressed the hope that China will acquire more agricultural products from the United States. China acquires about a quarter of global cotton imports and is the largest importer. The United States ranks 1st in the world in the export of cotton with a share of about 38%. After the announcement of the successful conclusion of negotiations between the leaders of the United States and China, the cotton quotations soared by 3% and updated a maximum of a month. An additional positive factor could be a reduction in the forecast for cotton crop area in the US in the agricultural season 2019\/20 from U.S. Department of Agriculture (USDA). In the June forecast of the US Department of Agriculture, an area of 13.72 million acres is indicated, which is less than its March estimate of 13.78 million acres. The India Meteorological Department reported that June this year turned out to be the driest in the last 5 years and the amount of precipitation decreased by about a third compared with the average level. Drought can reduce cotton production in India.<\/p>\n

\"Cotton\"<\/p>\n

On the daily timeframe Cotton: D1<\/b> is trying to exit the downtrend and from the triangle to the top. Various technical analysis indicators have generated an uptrend signals. Further growth of quotations is possible in case of an increase in global demand and deterioration of the weather in India.<\/p>\n