Coffee update Sept 10th 2011- Technical resistance action or expected moisture faith!

 Frost happens in one morning , drought happens in one season!  Coffee futures prices have technicaly reacted this week exactly as we expected according to text books lessons! Ancient strong supports , now strong resistances around 2.85/2.90 (now in KCZ1) were sufficient nought to stop and so far revert the , corrective , althought wild and fast upside  move. We are talking here about a 60 cts move in 3 weeks with a 25 cts move on the opposite side in half a week.(translated in $$ , that means an up move worth U$ 24,000 per contract with a U$ 10,000 corrective move in 3 days , less than 3 weeks latter.
   At least for unprepared coffee traders  who still think that hedge is a magical and divine word , hell could has been saw as a possible reality this year.
   At the end of this week , the market has clearly shown to the fools that much more expectation changes of future S&D  will be needed to break the 3.00 barrier. Only a drought could do this , but it still is possible.
  Till there (first week of october) , without a seasonal normalization of rain patterns , TECHNICALS will
rule price moves , as it has happened this week.
  Bears , if any , shouldnt be too excited about this wild downside move , since the 2.65 support is very strong and will do its best to support the prices.
  I would bet on a sideways trading range (2.65/2.75) for now .
  But just have in the back of your mind : If just the annoucement of a few moistured clouds have imposed such  a pain to the Bulls .....what could be prepared for them , when and if the very light first rains arrive as seasonally scheduled?????????????????

      For now just be TECHNICAL!!!!!