There was some size acquired in the KCK 150/165 call spread at 170 this morning, along with some other smaller friendly strategies. While long term these may prove appropriate, near term this (and other markets) remains vulnerable. I think the bounce we've seen following the speech was just that, a bounce. KCH 133 ought to be more thouroughly tested and its just a matter of time before we re-visit in my book. I suspect there is more downside left before things improve for bulls. The potential for fresh longs to liquidate is with us. And coffee is not alone in that regard.

Just when you thought it was safe to go back in the water.....