Cotton prices  (Dec13  futures) continue to perform quite well under the circumstances and appear to be well-supported at this time.  Dec’13 is currently around the 85-cent level and still in a decent uptrend since the most recent drop to around 83 cents.  There appears to be solid chart support at that 82 to 83-cent area with what should be another level of support at 80 to 81.

All  that  to  say  this: I  believe  the  goal  starting  out  this year  was  to  sell  as  much  cotton  as  possible  first  at  80 cents or better then at 85 or better.  If you’ve followed that philosophy, you should be sitting pretty good right now  with  a  fairly  modest  portion  of  the  crop  already priced.  The main worry right now is making the crop to assure delivery against the contracts.

As we move into harvest season, there can be a tendency for prices to decline.  This  can  happen  if  the  US  and World  crop  comes  in  bigger  than  expected  and/or  if buying (exports) dry up.  This market (Dec13) has tried to break below the 82- to 83-cent level several times since April.  Thus far it hasn’t been able to do so due to new buying at that level and bullish technical/speculative interest (buying) at that level.