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 The week began with a couple of choppy starts — in Crude Oil and Gold, especially — that suggest the week does not intend to range narrowly.
Dollar Basket Sep Contract (DX, ETF: (UUP, UDN)) Almost any strength Monday would have been likely to trend up, but the open gapped down. The balance of the session ranged flat-to-higher, so sellers gained no traction for their efforts. Immediate firming Tuesday would be credible for extending up.
Eurodollar Sep Contract (EC, ETF: (FXE)) Monday’s gap up suggests that Thursday and Friday’s ranging around 1.2300 did prevent a bigger downleg from gaining traction. But, that might have been only temporary, since the session only ranged sideways around the gap up. A dip back down to 1.2300 would be likely to extend down.
Gold Dec Contract (GC, ETF: (GLD)) Monday’s dip back under the ~1620.00 prior highs had already inhibited a second consecutive higher close, not confirming that Friday’s rally had gained traction. The afternoon’s probe under 1610.00 confirmed the non-confirmation, as it were. Closing Tuesday under 1607.50-1610.50 would confirm a migger drop underway targeting 1595.00-1597.50.
Silver Sep Contract (SI, ETF: (SLV)) Monday’s high was 28.15, instead of breaking above it, which would have triggered a rally. No other signal is active.
30-year Treasury Sep Contract (US, ETF: (TLT)) Monday’s “inside day” was like Friday’s gap up that never extended higher intraday. Each expended a lot of buying pressure only to range narrowly sideways intraday. A retest of Thursday morning’s 147-10 low remains likely.
Crude Oil Sep Contract (CL, ETF: (USO)) Monday’s choppiness ranged 92.00-94.00. Barely holding 92.65 through the close barely kept alive potential for resuming the rally.
Natural Gas Sep Contract (NG, ETF: (UNG, UNL)) Friday’s drop extended to slightly lower lows Monday, a second consecutive lower low confirming Friday’s break. At least a third lower close is likely before any recovery can begin. So, bouncing immediately would be likely to fail.
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