Sugar Surges Higher as False Breakout Sparks Buying Interest

In today’s analysis, let’s take a look at Sugar, where buyers have been gaining control over the past few days, setting the stage for a potentially strong end to the month. The bullish momentum began with a false breakout below the blue horizontal support level at 17.7, marked in yellow. The price briefly dipped below this level but quickly recovered, indicating a false breakout—a classic bullish reversal signal.

Adding to this positive sentiment, we also saw a breakout above the black mid-term downtrend line, further strengthening the buy signal. Following these developments, the price has been climbing higher, with the target now set on the red long-term downtrend line. The probability of reaching this target appears high, as the bullish momentum continues to build.

As long as the price remains above the blue support level, the buy signal remains intact. The alternative scenario would involve the price breaking below the blue horizontal support again, but this seems less likely given the current market dynamics.

Source: https://www.axiory.com/analytics/technical-analysis/sugar-surges-higher-as-false-breakout-sparks-buyin