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 Two days of volatile Gold action didn’t make a third volatile session any more predictive. So, Wednesday’s Gold rally needs more than any other session to be confirmed on Thursday. If it’s not, then a much larger resolution down should not be far behind.

Dollar Basket Dec Contract (DX, ETF: (UUP, UDN))
Wednesday’s gap down didn’t trend down, but still suggests that the recent bounce didn’t gain traction for extending higher into a recovery.

Eurodollar Dec Contract (EC, ETF: (FXE))
Gapping up Wednesday keeps alive the potential for retesting recent highs up to 1.3580 before any durable downleg could gain traction.

Gold Dec Contract (GC, ETF: (GLD))
Closing above 1313.00 Tuesday had avoided signaling momentum reversed down. Rallying to within $2 of 1341.00 Wednesday doesn’t yet signal momentum reversing up. Absent a second consecutive higher close Thursday, a corrective bounce will have likely ended, with a close back under 1321.00 signaling a new downleg underway.

Silver Dec Contract (SI, ETF: (SLV))
Closing above 21.88-21.95 would have signaled a new upleg underway. It was only tested, but a second consecutive higher close Thursday would still confirm momentum had reversed up.

30-year Treasury Dec Contract (US, ETF: (TLT))
Price firmed to fresh highs above 133-10 Wednesday, perhaps as a flight-to-safety amid stock market weakness. Regardless of its catalyst, the second consecutive higher close suggests a third higher close is due. The recovery can extend higher so long as pullbacks now hold 132-22 as support.

Crude Oil Nov Contract (CL, ETF: (USO))
A small bounce Wednesday never became a rally, and it was retraced back to Tuesday’s 102.30 support, whose break would next target 99.10.

Natural Gas Oct Contract (NG, ETF: (UNG, UNL))
Tuesday’s sharp slide did not extend lower Wednesday, although it having been a second consecutive lower close does suggest a third fresh low close will precede any recovery potential.

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