NEW YORK, March 23 (Reuters) - Arabica coffee futures closed lower on follow-through weakness on Wednesday.
* May arabica coffee futures dropped 4.85 cents to
settle at $2.6860 per lb, an inside day.
* Market fell for a second straight day, after failing to breach the 62 percent Fibonacci retracement level at $2.83, basis May, on Monday, indicating a short-term downtrend -- traders.
* May contract remained above a daily trendline and well above the 100-day moving average.
* Market lower in thin dealings as investors holding weak long positions liquidated, while roaster demand fell away -- traders.
* The fundamental picture remains the same, with tight supplies of washed arabica seen lifting the market after this correction - traders. -----
