Daily Spot
A daily summary of high-profile members of several complexes…[pay] View a more detailed discussion of each at the end of today’s Market Wrap.
Dollar Basket Dec (DXZ) Thursday’s inside day had made Friday likely to dip for refueling buyers. That proved to be an understatement as the dip extended under its 77.35 objective to nearly touch 76.85. It’s just an extension of the same pattern, and still a correction, so long as 77.35 is recovered next and so long as an aggressive rally emerges upon 77.35‘s recovery.
Gold Dec (GCZ) Thursday’s extra-deep pullback to 1736.60 held a test of “lower prior highs” and filled an outstanding gap. That allowed the weakness to neutralize attractions below, without sellers gaining traction — 1800.00 was likely to be probed again. Overnight strength extended higher throughout Friday to test 1791.00. The retest of 1800.00 remains in-play so long as pullbacks now hold 1781.50.
Silver Dec (SIZ) Friday’s rally recovered back up to Wednesday’s highs, starting to outperform Gold. Silver meanwhile has formed an Ascending Triangle targeting 37.30 so long as 34.10 now holds as support.
30-year Treasury Dec (USZ) While retesting 143’04 did react down Thursday, the reaction’s sponsorship proved incapable of launching a new downleg, and held upon filling Tuesday’s outstanding gap below. But it also chipped away at support that laid the groundwork for later sellers. Those later sellers tend to arrive from the same point that launched the first effort — if not from higher, if at all — so, Friday’s probes under Thursday’s low were probably premature. A close under 140’16 would break sharply downward if valid.
Crude Oil Dec (CLZ) Friday’s fresh highs now all but ensure visiting 100.50-101.00. Frankly, the second extension of this otherwise corrective bounce is suggesting the market sensing something substantial still to come. If a test of 100.50-101.00 isn’t rejected forcibly, then the alternative pattern would likely surge sharply higher — as if something substantial had arrived.
Natural Gas Dec (NGZ) Gapping down to new lows Friday fulfilled the setup created through Thursday — greeting Friday at the range’s lows. Gapping up Monday above 3.63 would form an Island Reversal targeting 3.76-3.79, but would still require a retest of Friday’s 3.57 low. The trend otherwise remains down.
[/pay]
Share your questions and comments on this post in the blog, or in the chartroom…