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 There’s something unnatural about Natural Gas. Thursday not only fell to new lows, but fell aggressively. The pattern does not allow a credible immediate recovery, so an immediate recovery attempt would be a compelling short.
Dollar Basket Jun Contract (DX, ETF: (UUP, UDN)) Thursday’s opening gap up repeated the ongoing pattern to now make a test of 79.50 likely. And unless recovered quickly, a break under 79.50 would target 79.15.
Eurodollar Jun Contract (EC, ETF: (FXE)) Yet another opening dip was recovered Thursday, this time back into positive territory. This is more of the same pattern already forming, making 1.3200‘s test likely — and now potentially 1.3295 if 1.3200‘s test were not rejected immediately.
Gold Jun Contract (GC, ETF: (GLD)) Fresh lows down to 1631.20 at Thursday’s open all but confirmed that Tuesday’s $23 intraday recovery was not bullish. So, Thursday’s $23 intraday recovery should not be bullish either. That’s right, Gold rallied that much off the open’s low. It was retraced back under 1640.00. Closing under 1635.00 would further confirm the new downleg underway.
Silver May Contract (SI, ETF: (SLV)) Recovering yet again from 31.45 to probe above 31.75 suggests that a bigger bounce must precede any credible downleg. A bigger bounce may even gain traction. But only two consecutive higher closes above 32.30 can prevent resolving down to fresh lows.
30-year Treasury Jun Contract (US, ETF: (TLT)) Not having any active signal, a “flight-to-quality” was triggered Thursday by stock market weakness. But Tuesday’s 142-10 highs held the session-long test, despite starting the session only slightly lower at 142-00. The 141-06 sell signal is unchanged, and no buy signal is available.
Crude Oil May Contract (CL, ETF: (USO)) An intraday dip to 101.67 was recovered enough to end the day still testing 102.25. Holding its support would keep alive potential for triggering a buy signal above 103.35 and 104.70. Closing under 102.25 would target 98.95.
Natural Gas May Contract (NG, ETF: (UNG)) Thursday’s gap down to new lows recovered only briefly during the weekly EIA report. And that reacted down sharply to much lower lows at 1.90. Still no bottom.
[/pay]
Share your questions and comments on this post in the blog, or in the chartroom…