Daily Spot
A weekly summary of high-profile members of several complexes.[pay]
Dollar Basket Sep (DXU) Darkest before the dawn? Tuesday’s bounce didn’t gain traction, but neither did it confirm Monday’s break that signaled a new downleg underway. Wednesday’s opening gap down to fresh lows now requires its own confirmation from a lower close Thursday. Having filled the gap back to the three-week old low, the only unfinished business below is this downleg’s 73.00 target.
Gold Dec (GCZ) New high close, but not new high. Wednesday ranged flat-to-higher, and ultimately closed higher. It was a new high close, but under both the week-old 1801.00 high, under Tuesday night’s 1797.60 high, and under last week’s 1817.60 overnight high. This week’s rally isn’t gaining traction, but it has room to extend higher before a downleg would be credible.
Silver Dec (SIZ) Chipping away further at resistance. A fresh high up to 40.61 was probed intraday Wednesday. An afternoon dip returned it all to fill the gap back to Tuesday’s close. But a bounce into Wednesday’s close retraced more than 61.8% of the afternoon’s drop, so its buyers did gain traction, making some follow-through likely Thursday.
30-year Treasury Sep (USU) The path of least resistance, literally. Wednesday’s weak open was inconsequential and held its test of 136’20 as support. A mid-morning rally extended higher to 138’02. Although a pullback has room down to 137’02 before the bounce would even start losing traction, the pattern’s normal behavior at this stage would simply extend higher to fulfill the retest of 140’00.
Crude Oil Sep (CLU) Conserving energy that buyers don’t have. This pattern continues to be defined by its flat-to-higher ranging. Wednesday’s open actually gapped up above the 88.00 recent highs and extended up to 89.00 before reversing back down within the range to 86.65. The 90.00 objective may be met before another downleg can retest recent lows. But 90.00 is an inflection point whose test must be rejected almost immediately to prevent the current bounce from accelerating sharply higher.
Natural Gas Sep (NGU) A little too sunny-side up. Wednesday’s sideways ranging was supported optimistically above 3.92‘s prior lows. More optimism Thursday morning ahead of EIA reports would be vulnerable to reversing down hard in reaction to the news. But a fresh low that recovers on the news could form a durable bottom.
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