Daily Spot
A daily summary of high-profile members of several complexes… View a more detailed discussion of each chart at the end of today”s Market Wrap.
Eurodollar Dec Contract (EC, ETF: (FXE))
Monday”s dip back under last week”s highs could have invalidated Friday”s break higher, but Friday”s range was probed intraday. Now, a reversal down would be credible after probing under 1.2400, or after at least testing 1.2518.
Gold Feb Contract (GC, ETF: (GLD))
Sunday night”s slide gapped down Monday to probe under the 1212.70 sell signal. Although Friday”s post-open bounce had filled the gap back to Thursday”s close and neutralized its attraction above, gapping down isn”t the optimal path down from last week”s highs. Triggering the sell signal gets a benefit of the doubt, but it is otherwise vulnerable to recovery back above 1218.00.
Silver Mar Contract (SI, ETF: (SLV))
Monday”s gap down probed under the 16.98 sell signal, and trended down into the afternoon to test 16.42. Back above 16,72 would suggest the drop was a temporary false break, targeting a probe of fresh highs above 17.25.
30-year Treasury Mar Contract (US, ETF: (TLT))
Overnight weakness was too shallow to gain traction, allowing Monday morning to firm and to retest Friday”s highs up to 145-24. Dipping back to unchanged and within Friday”s range prevents triggering higher targets, but still doesn”t reverse the trend back down.
Crude Oil Jan Contract (CL, ETF: (USO))
Sunday night”s gap down to 56.50 was recovered back above Friday”s 57.60 close. We discussed during the Market Tour why that”s not the optimal path higher, so it wasn”t surprising for reacting down to new lows testing 55.75 — with potential for noise down to 54.75 before suggesting that a bigger downleg is underway.
Natural Gas Jan Contract (NG, ETF: (UNG, UNL))
Despite confirming Friday”s close above 3.69 was relevant, Sunday night”s gap up didn”t extend higher and only weakened before Monday”s open. There was no second consecutive higher close, although 3.69 did hold its test as support.