Alaron Softs Comment

CHICAGO - Feb 14/08 - SNS -- Following is the orange juice, cotton and coffee comment from Alaron Trading Corp.

Today, March Cocoa broke above the April 1985 high of 2500. The market made a high of 2586, which was just shy of the September 1984 high of 2605. This market has been supported by active fund buying since the beginning of the year. As I have mentioned in my webinars and reports, funds have been looking to get more active into the Softs sector this year. Besides this market, funds have been active in coffee and sugar. This rally in the cocoa market has been technical in nature and fund buying. The fundamentals in this market has a bearish tilt. The Ivory Coast crop is expected to be larger as arrivals are well ahead of last year's pace. Origin selling has been slowing down in recent weeks as the Ivory Coast main harvest comes to an end. The lack of origin selling in the last few weeks has also allowed this market rally to these historical levels. Spread trading was active ahead of first notice day for the March contract on February 15th. Support for May is at 2500. Resistance is at 2600.

Boyd Cruel

Alaron Research Team

800.563.9510

bcruel@alaron.com

DISCLAIMER: Futures and options trading involve substantial risk. The valuation of futures and options may fluctuate, and as a result, clients may lose more then their original investment. In no event should the content of this website be construed as an express of an implied promise, guarantee or implication by of from the author(s) that you will profit or that losses can or will be limited in any manner whatsoever. Past performance is not necessarily indicative of future results. Information provided on this website is intended solely for informative purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Alaron Trading Corp. its officers, directors, employees and brokers may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report.

Information on this page is derived from third parties and is deemed to be reliable. STAT Communications Ltd. accepts no responsibility for errors, omissions or inaccuracies in any of the material presented on this web site. Opinions expressed on this web site are those of the respective individuals and/or institutions and do not represent the opinions of STAT Communications Ltd. and/or STAT Publishing or its staff and/or management.