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 Gold’s extra double-digit slide fell neatly into the target created by last month’s low. Bouncing immediately would help to form a bottom, but it would not qualify as that bottom. Meanwhile, Crude Oil has been bottoming for some time, and need not further delay a recovery.
Dollar Basket Dec Contract (DX, ETF: (UUP, UDN))
Thursday’s pullback was shallow, but that’s all it took to avoid confirming Wednesday’s break higher. This doesn’t prevent another break higher Friday — it’s just not required.
Eurodollar Dec Contract (EC, ETF: (FXE))
Thursday’s bounce was shallow, but that’s all it took to avoid confirming Wednesday’s break lower. This doesn’t prevent another break lower Friday — it’s just not required.
Gold Dec Contract (GC, ETF: (GLD))
Wednesday’s post-close dive to 1240.20 was retested intraday Thursday down to 1235.80, fulfilling the outstanding 1240.00-1245.50 target. Thursday’s 1244.00 close was testing the 1246.00 open, close enough to suggest the drop’s momentum was waning. A reversal signal would be premature, but extending down immediately would make would make bottoming more difficult prior to extending down sharply.
Silver Dec Contract (SI, ETF: (SLV))
Thursday’s 19.70 intraday low held a test of Wednesday’s post-close low, recovering enough to end the day testing the open’s gap around 19.90. That suggests the drop’s momentum is waning, but it is far short of yet signaling momentum has reversed up.
30-year Treasury Dec Contract (US, ETF: (TLT))
Fresh lows down to 130-14 were recovered back into positive territory to at least 131-10. Closing back above 131-14 at any time would signal the drop had ended, still subject to confirmation from a second consecutive higher close.
Crude Oil Jan Contract (CL, ETF: (USO))
Early strength Thursday above 94.00 was already expected to extend higher intraday. Thursday’s rally tested 95.00, needing at least one more higher close Friday to start signaling a multi-session recovery attempt underway.
Natural Gas Dec Contract (NG, ETF: (UNG, UNL))
Fresh highs Thursday up to 3.74 were retraced back down to Monday’s “lower prior highs,” testing 3.67. This still raises suspicions that a durable rally is actually underway, let alone targeting 3.81. But the rally can get a benefit of the doubt so long as 3.63 holds as support.
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