I chose (one by one in testing) several well known third party text editors in prefs and Cyberduck just kept opening things in Apple textedit.
I usually stick with Apple textedit, but as it works just fine with other FTP programs, it does not do the job in Cyberduck (it produces a kind of graphic presentatrion of html files insted of the text (code) version).
Too lazy to give you a log. Find out for yourself. I've wasted time enough here ...
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