Coffee futures price seasonal patterns suggest coffee

Seasonal patterns suggest coffee futures price often strengthen in June-July on weather concerns. Current models from meteorological agencies show above-average temperatures, adding risk premium into contracts. Robusta coffee also has support from weather concerns in Vietnam.  Heavy rains are expected in Vietnam's Central Highlands, the country's main coffee-growing region, over the next week due to remnants of Typhoon Bualoi.  The heavy rain has caused flooding on some coffee farms and roads, keeping farmers out of their fields. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you. Coffee futures price support at $2.28/lb has held through recent market tests, signaling strong buying interest. Trade desks report increased call option activity, often a bullish tell for price trajectory.