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.
Today’s Highlight Crude Oil extended higher to probe above $100, which got everyone’s attention. Of course, this was the second day of gains since triggering a buy signal Tuesday.
Dollar Basket Mar Contract (DX, ETF: (UUP, UDN)) Eurodollar Mar Contract (EC, ETF: (FXE)) Thursday morning’s initial trending attempt was quickly retraced back Wednesday’s range, which was itself an inside day. Early trending Friday beyond Thursday morning’s extremes would be likely to trend further into and out of the weekend. There is otherwise no active signal.
Gold Feb Contract (GC, ETF: (GLD)) Regardless of Tuesday night’s wild detour up to 1643.70, Tuesday and Wednesday’s tests of 1620.00 resistance could react down to test 1610.50 before signaling a new downleg underway. Thursday ‘s open dipped immediately and extended down to probe under 1600.00. The close was still testing 1610.50, but a second consecutive lower close Friday would confirm a new downleg underway. That would be difficult without also taking currencies beyond their Thursday morning extremes.
Silver Mar Contract (SI, ETF: (SLV)) Wednesday’s “ineffectual pessimism” proved less relevant than Tuesday’s “ineffectual optimism” when Thursday’s open trended down below each. The afternoon ranged consolidated down to 29.00, targeting 27.90.
30-year Treasury Mar Contract (US, ETF: (TLT)) Narrow ranging Thursday off of Wednesday’s fresh low maintained the pattern’s sell signal. A bigger bounce would have helped to refuel sellers, so extending down Friday without delay would be suspicious.
Crude Oil Mar Contract (CL, ETF: (USO)) Wednesday’s gains had confirmed Tuesday’s buy signal, which had put into play a test of 103.00. Thursday’s fresh highs probed above 100.00 intraday to grab headlines. Headlines can accompany near-term turning points, and a little correction to this 3-day 6-dollar rally would be helpful — preferably avoiding a close under 99.00 to maintain the rally’s momentum.
[/pay]
Share your questions and comments on this post in the blog, or in the chartroom…