Cotton futures struggled to trade higher to begin this week but have broadly held onto recent gains. March cotton traded slightly lower on Tuesday and closed at 64.32 cents a pound. Prices benefited from lighter trade with the holiday last week as traders took profits from recent contract lows.

Technically, current resistance stands around the Nov. 28 high of 64.80 cents. Today’s low could serve as near-term support, which is around the bottom of the gap from Friday’s surge.

Consistent lower highs and lower lows since this spring show the market has struggled to shake off its bearish momentum. Unsteady U.S. export demand has been a primary factor as global competition has dug into the U.S. share of global trade. The effects of low global textile demand has seeped into other parts of the world, including Southeast Asia, a major destination for U.S. exports.

Crude oil futures, a global bell weather, recovering from recent eight-month lows could also provide support for the cotton market.

The USDA will release its latest export sales report on Wednesday. The most recent available data shows that export sales have been all over the board, with total commitments still tracking at a multi-year low.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.