Cotton Futures---Cotton futures in the March contract settled last Friday in New York at 74.85 while currently trading at 76.41 continuing its bullish momentum as I have been recommending a bullish position from around the 73.40 level & if you took that trade continue to place the stop loss under the 10 day low which stands at 72.53, however in Tuesday's trade will be raised to 73.14 as the chart structure will improve on a daily basis therefore lowering the monetary risk.

Cotton is trading above their 20 and 100 day moving average looking to retest the August 5th high around 78.00 in my opinion as Friday's 50 point decline was just profit-taking due to overbought conditions.

Cotton has been the strongest agricultural market as the grain market continues to go sideways day in and day out, however cotton continues to grind higher so continue to place the proper stop loss risking 2% of your account balance on any given trade.

The true breakout in cotton was above the 75.00 level as I did add around the 76.00 level as the risk/reward is in our favor as cotton can become an extremely volatile commodity with large price swings on a daily basis as I think the volatility is going to increase substantially.TREND: HIGHER –CHART STRUCTURE: SOLID