Daily Spot…
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 Dec Contract (EC, ETF: (FXE, UUP))
Thursday’s gap up probed an unfilled gap at 1.1645 momentarily before its retracement tested Wednesday’s “lower prior highs” down to 1.1605. Its reaction recovered 1.1645, so far holding a test of the gap and of its resistance. Almost any initial weakness Friday morning would be credible for extending down.
Gold Dec Contract (GC, ETF: (GLD))
Thursday’s gap up to the original 1209.50 bounce limit held up through the open and trended up intraday to test 1228.00. This is the highest levels since July, and makes the 1172.50 objective problematic. Much will depend on whether Friday produces a second consecutive higher close. Regardless, “lower prior highs” at 1209.50 will be difficult to break back under.
Silver Dec Contract (SI, ETF: (SLV))
Gaping up Thursday above Tuesday’s 14.45 high trended up intraday until filling the gap back to Friday’s 14.65 high. No “unfinished business” below is outstanding, so early strength or weakness Friday would be credible for extending in that direction.
30-year Treasury Dec Contract (US, ETF: (TLT))
Wednesday’s mixed signals were likely to first test 138-04 above before reversing to fresh lows under 136-26. Stock market continued weakness overnight motivated a bounce to 138-17. Its reaction down held 138-04 Thursday morning, before retesting the overnight high. Back under 138-04 would now target 136-26 and lower.
Crude Oil Nov Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
Overnight follow-through of Wednesday’s break under the 73.90 sell signal reacted poorly to Thursday morning’s EIA report. Extending down to 70.90 also produced a second consecutive lower close to confirm Wednesday’s break. At least an eventual third lower close is now required.
Natural Gas Nov Contract (NG, ETF: (UNG, UNL))
Already greeting Thursday’s EIA report from a position of weakness, the open gapped down to the 3.25 sell signal and extended down to 3.15. That Its retracement ended back at or under the sell signal, needing a second consecutive lower close on Friday to confirm.