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 Tuesday’s price action fulfilled the likelihood for volatility to expand considerably after Veteran’s Day. That likelihood encompasses Wednesday, too. Having fulfilled so much selling pressure at Tuesday’s lows, could the ongoing volatility take the form of reversing up sharply Wednesday?
Dollar Basket Dec Contract (DX, ETF: (UUP, UDN))
Tuesday’s choppy session fluctuated narrowly around unchanged, essentially confirming that Monday’s dip gained no traction to reverse momentum down. More interesting was the lack of trending while other major markets like Crude and Gold slid sharply.
Eurodollar Dec Contract (EC, ETF: (FXE))
Tuesday’s firmer session differed from Monday only slightly in price, and not much otherwise. Both gapped up slightly, traded flat, and remained entirely within Friday’s range. As noted above, not trending diverged from so many other markets, suggesting that the lows would be attacked if not also retested.
Gold Dec Contract (GC, ETF: (GLD))
Filling the month-old gap Friday allowed at least a corrective bounce to form, but Monday’s narrow ranging resolved down sharply Tuesday as the decline extended through its next targets to test 1260.00. The decline’s momentum remains intact so long as bounces now hold 1268.50, and back above 1274.50 would signal momentum reversing up.
Silver Dec Contract (SI, ETF: (SLV))
Tuesday’s resumption of the decline from testing the 21.35 target extended down to and through its 20.70 target. Closing back above 20.70 would at least start to suggest the drop’s momentum has ended.
30-year Treasury Dec Contract (US, ETF: (TLT))
Fresh lows Tuesday tested a relevant support at 131-08. Closing back above 131-26 would start to signal momentum may be reversing up, so long as pullbacks then held 131-14 as support.
Crude Oil Dec Contract (CL, ETF: (USO))
Monday’s retest of the bounce limit resolved down Tuesday to fresh lows, fulfilling the longstanding 92.85 target to within 1 penny. Closing back above 93.50 would be the minimum requirement to begin suggesting the decline’s momentum has ended. Back above 94.60 would signal the trend reversing up.
Natural Gas Dec Contract (NG, ETF: (UNG, UNL))
Unfinished business below, no upside attractions, and lack of momentum did not prevent Tuesday’s open from gapping up to fresh highs. Ultimately, 3.63 held its test as resistance, leaving no time or room for delaying a retest of the lows.
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