Since the beginning of the year, the commodity lost more than 21.0% but last week manage to rise over 1.0% and is in a potential phase change, shifting from a recovery to an accumulation phase.
Last week the sugar initially fell but found enough support near the 10-week moving average to erase all of its losses and closed near the high of the week, furthermore the soft commodity closed within the previous week range, which suggests being slightly on the bullish side of neutral.
The stochastic is showing an extreme overbought market although is still displaying a strong bullish momentum.
The commodity began a steady rise after making a double bottom and broke above the consolidation zone that went from 15.14 down to 13.29. Seems like the sweet tooth of Christmas is pressuring for high demand of Sugar.
Expecting an upward move to a weekly resistance at 16.13 on a break above the previous week high at 15.46 (scenario 1) however a bounce from the weekly resistance at 16.13 may trigger some profit taking down to the lower end of the weekly resistance at 15.14.