{"id":98387,"date":"2016-11-18T07:14:41","date_gmt":"2016-11-18T12:14:41","guid":{"rendered":"http:\/\/countingpips.com\/?p=98387"},"modified":"2016-11-18T07:14:41","modified_gmt":"2016-11-18T12:14:41","slug":"cocoa-technical-analysis-lower-shipments-from-cote-divoire-and-brazil","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2016\/11\/cocoa-technical-analysis-lower-shipments-from-cote-divoire-and-brazil\/","title":{"rendered":"COCOA: Technical Analysis – Lower shipments from Cote-d\u2019Ivoire and Brazil"},"content":{"rendered":"
November 18, 2016<\/div>
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By IFCMarkets<\/a><\/p>\n

Lower shipments from Cote-d\u2019Ivoire and Brazil<\/strong><\/p>\n

Global leader in cocoa production Cote-d\u2019Ivoire allowed exporters to prolong the non-executed contracts for cocoa exports from previous season to 2016\/17. This may cause additional demand of 60-120 thousand tonnes. Will cocoa<\/a> surge?<\/p>\n

Cocoa hit a fresh more than 3-year low on Thursday. Major reason for lower prices is very positive forecasts in Western Africa where 64% of world cocoa is produced. Now most meteorological agencies discuss La Nina phenomenon which may weigh on the forecasts. Cocoa shipments to export harbors of Cote-d\u2019Ivoire fell 23% since the start of new season on October 1 to November 13, 2016 compared to the same period of previous year to 316 thousand tonnes. Quite the same story is in Brazil. Bahia Commercial Association reported that cocoa imports fell 29% since the start of agricultural season on May 1 to November 13, 2016. Brazil accounts for just about 5% of global cocoa production.<\/p>\n

\"Cocoa\"<\/p>\n

On the daily chart Cocoa: D1<\/b> slumped almost 25% since mid-August. The downward trend persists. Upward correction is possible in case of worse weather in main cocoa regions. Global demand remains steadily high and prices depend on weather conditions.<\/p>\n