Daily Spot
A daily summary of high-profile members of several complexes.[pay]
Dollar Basket Dec (DXZ) Getting closer. Reaction to Wednesday’s FOMC announcement finally produced the gap-fill back to last Monday’s 78.21 close. So long as pullbacks now hold 77.55 as support, 78.50 and potentially 78.90 remain in-play.
Gold Dec (GCZ) Lots of sales, little traction. Buyers never gained traction with a close above 1826.00, let alone recovering 1835.00. Wednesday’s reaction to the FOMC announcement sent price back down to test 1781.50 support. Closing any lower would trigger another sell signal, much likelier to extend down since last week’s similar signal held its test of 1753.70. For the same reason, recovering 1798.50 would make 1826.00‘s retest likely, and likely to at least retest 1835.00, too.
Silver Dec (SIZ) The pause that refreshes. The post-close drop tested 39.50-39.75 as support. Closing any lower Thursday would signal a new downleg is underway. But recovering to close above 40.50 would target at least 41.50-41.75.
30-year Treasury Dec (USZ) Careful what you ask for. Finally, a probe above 142’00. And also a reaction down. But that all came before Wednesday’s FOMC announcement. The news reaction spiked up to test 143’02, which did satisfy a relevant target. Nevertheless, spikes up don’t reverse down immediately and durably. So, an immediate reversal down Thursday would not be durable. A top would likelier form by backing and filling, or by probing higher briefly intraday. Otherwise, a second consecutive higher close would target the break’s next higher objective at 145’14.
Crude Oil Nov (CLX) Only a formality now. Uptrending support’s test down to ~85.15 last Monday has now been retested twice. Closing under it would signal a new downleg underway. Otherwise, closing above 87.05 would target 92.25. This being the second test of 85.15, a lower close is likely, and likely to test 81.00.
Natural Gas Oct (NGV) Benefit of little doubt. Tuesday’s inside day didn’t capitalize on Monday not having confirmed Friday’s break to new lows. So, Wednesday resumed the break to lower lows. A second consecutive lower close would confirm a new downleg underway.
[/pay]
Share your questions and comments on this post in the blog, or in the chartroom…