COCOA: oversold futures with 37% decline in price for a year.
RSI crossed above 0,3 giving a signal for probable upward movement.
Engulfing bullish bar after a sharp short term decline with potential for increase in price.
Risky position for probable reversal of the trend so we can divide our position into parts to build it.
Alternative scenario: If price breaks below 2113 this will give a sell signal which is not a place to enter since it will be too risky.
Stefan D. Angelov – Head of Stocks Trading