Bigger Picture

A daily summary of high-profile members of several complexes… View a more detailed discussion of each chart at the end of today’s Market Wrap.

Eurodollar Mar Contract (EC, ETF: (FXE, UUP))
Lower lows overnight at 1.1436 was only slightly lower, and recovered into the open only slightly into positive territory Wednesday, still needing to recover 1.1500 to signal a recovery underway.

Gold Feb Contract (GC, ETF: (GLD))
Wednesday’s flat-to-higher price action was nonetheless as narrowly range bound as has been the past week. Extended narrowing ranges tend often to break falsely initially, regardless of whether the break is then extended or reversed.

Silver Mar Contract (SI, ETF: (SLV))
Flat-to-lower ranging Wednesday tested the narrow ongoing range’s lower-end, while still avoiding the range’s break.

30-year Treasury Mar Contract (US, ETF: (TLT))
Tuesday’s close at the 145-08 low was probed overnight down to 144-24 but recovered into Wednesday’s open to try avoiding its break. Ranging still has room up to 146-04 without yet triggering any recovery.

Crude Oil Feb Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
Wednesday’s EIA report wasn’t greeted from either a position of strength or weakness, as the recent range persisted overnight. No knee-jerk reaction was evident as the range extended, suggesting its next trending attempt would be retraced back into the range.

Natural Gas Feb Contract (NG, ETF: (UNG, UNL))
Tuesday’s pullback from Monday’s surge and overnight probe up to 3.72 had extended down overnight to 3.38, yet recovered back into positive territory in time to gap up Wednesday. The open above all prior intraday highs quickly attacked the prior overnight high to within 2 cents. But the balance of the session slid relentlessly back down to attack the overnight lows. The outside day’s reversal down does not greet Thursday’s EIA report from a position of strength.

A daily summary of high-profile members of several complexes… View a more detailed discussion of each chart at the end of today’s Market Wrap.

Eurodollar Mar Contract (EC, ETF: (FXE, UUP))
Monday’s recovery from Sunday night’s fresh pullback lows had bought a little time to delay resuming Wednesday’s surge. But Monday night’s lower lows didn’t help, and gapping down to 1.1475 support failed to recover positive territory before extending down sharply intraday to test 1.1440. Now a buy signal can be triggered by closing back above 1.1500.

Gold Feb Contract (GC, ETF: (GLD))
Greeting Tuesday’s session in the ongoing multi-session narrow range tried breaking higher Tuesday morning attacking 1295.00, only to snap back down to the range’s 1286.50 lower-end, still above te 1283.00 sell signal.

Silver Mar Contract (SI, ETF: (SLV))
The narrow multi-session range rejected Tuesday’s gap down by blipping-up to 15.75, only to return to the open’s gap down at 15.58 and maintain the ongoing range.

30-year Treasury Mar Contract (US, ETF: (TLT))
Overnight strength stopped short of touching the 146-04 buy signal before dipping into negative territory Tuesday morning and testing the range’s 145-08 support.

Crude Oil Feb Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
The pullback from last week’s 53.30 high made no new low as Tuesday bounced back to at least 53.15, still within the range and without signaling a new leg.

Natural Gas Feb Contract (NG, ETF: (UNG, UNL))
Probing higher overnight to 3.72 was retraced Tuesday morning to 3.45, when a second consecutive higher close had been needed to confirm momentum had reversed up durably.

A daily summary of high-profile members of several complexes… View a more detailed discussion of each chart at the end of today’s Market Wrap.

Eurodollar Mar Contract (EC, ETF: (FXE, UUP))
Already having extended Thursday’s pullback an extra day, Wednesday’s surge needed confirmation without much further delay. Sunday night’s shallow fresh lows were recovered pre-open, but Monday’s session has only ranged narrowly sideways.

Gold Feb Contract (GC, ETF: (GLD))
Friday’s narrow ranging persisted Sunday night and Monday, still not rejecting the hovering at recent highs. Another pullback can’t be discounted, whether or not deeper, but any additional pullback should be brief and recovered to fresh highs still targeting 1319.50.

Silver Mar Contract (SI, ETF: (SLV))
Narrow ranging Monday continued the consolidation that was underway into the weekend, still not rejecting the recent higher, but also not immune to another dip before probing higher.

30-year Treasury Mar Contract (US, ETF: (TLT))
Probing above the 146-04 buy signal Sunday night by nearly a quarter-point was nevertheless retraced back to 146-04 before Monday’s open, which pulled back intraday to maintain the trading range above 145-08.

Crude Oil Feb Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
The reaction down from Friday’s pre-open test of 53.30 extended lower Sunday night to test 50.45. It was recovered enough before Monday’s open to hold 50.85-51.00 as support during narrow intraday fluctuation around unchanged. A deeper intraday probe is likely.

Natural Gas Feb Contract (NG, ETF: (UNG, UNL))
Gapping up sharply Sunday night was maintained through Monday’s open to potentially form an Island Reversal from the past 1-2 week trading range. Pullbacks have room down to 3.27 while maintaining the reversal pattern, but any deeper could still hold “lower prior highs” and resume the recovery.