(SB) Accelerated Sugar Gains Sight August High, And Above Technicals

The 240-min chart below shows not only a recovering market, but one that's accelerating higher. On the heels of what now looks to be only a 3-wave and thus corrective decline from 25-Jul's 31.68 high to 23-Sep's 24.01 low, odds are rising quickly that this month's rally is the dramatic 3^rd-Wave of a resumption of the major bull trend to eventual new highs above 24-Aug's 31.85 high. As a result of this impressive, impulsive rally, further gains remain expected straight away with weakness below yesterday's 26.41 corrective low required to defer or threaten this bullish count.

Indeed, the extent of this month's recovery shown in the daily log chart above clearly exposes Jul-Sep's sell-off attempt as only a 3-wave sequence as labeled. Left unaltered by a failure below 04-Oct's 24.31 (2^nd-Wave) corrective low, this 3-wave setback is considered a corrective structure that, on the heels of May-Jul's major rally, warns of a resumption of that rally. And the Fibonacci fact that this rally stems from the immediate area of the (24.18) 61.8% retrace of this year's rally does nothing but reinforce this broader bullish count.

Finally, the fact that Jul-Sep's setback resulted in the drop in the Bullish Consensus measure of market sentiment (www.marketvane.net) to its lowest level (43%) since that that accompanied Jun'10's major base and reversal contributes yet another factor to a broader bullish count.

In sum, a bullish policy remains advised with weakness below 26.41 the minimum required to even defer this view and a failure below 24.31 required to negate it. In lieu of such weakness, further and possibly accelerated gains remain expected, with a run ultimately to new highs above 31.85.

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