Commodity Momentum: Copper back in "green"

The strong rally in commodities lately is turning our heatmap green with copper being the latest to gain some upside momentum. The energy heavy S&P GSCI has now recovered more than 20 percent from the June lows while the DJ-UBS Index is up 15 percent.

So what about the remaining four markets which still point towards lower prices? Natural gas selling has slowed after finding support at 2.70 (weekly inventory data due tomorrow at 16:30 CET). The dramatic move higher in wheat is an example of when momentum does not work with the estimated entry point of the 12 day short position being under water with momentum indicators still waiting to catch up. Sugar does not need any comments as the strong down momentum continues, especially after another big leg down yesterday. Coffee still points lower but the selling has paused as we approach the June low.