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 post-close surge Monday extended its recovery from pre-open lows. All of which created more room to absorb selling pressure intraday Tuesday. A little more selling pressure Wednesday, without sellers gaining traction for the effort, could finalize a bottoming process for at least a substantial bounce.

Dollar Basket Dec Contract (DX, ETF: (UUP, UDN))
Tuesday’s retest of Friday’s low has formed a Descending Triangle after Monday’s temporary bounce. This isn’t a sell signal, but extending under Tuesday morning’s lows would target 80.65 would target 80.45.

Eurodollar Dec Contract (EC, ETF: (FXE))
Gapping up Tuesday to retest Friday’s high after Monday’s interim dip has now formed an Ascending Triangle. Extending to fresh highs would still be vulnerable to being a false breakout that reverses down sharply and fulfills the bearish pattern. That’s not equivalent to a buy signal, but the breakout could still extend up to 1.3580 or 1.3635  before trending back down.

Gold Dec Contract (GC, ETF: (GLD))
Despite extending higher overnight to test 1258.00, Tuesday’s lows retested the entire 1240.00-1245.50 range as support, still possibly forming a more durable bottom.

Silver Dec Contract (SI, ETF: (SLV))
Monday’s post-close gains were retraced before Tuesday’s open, confirming that a bigger bottoming effort is still required.

30-year Treasury Dec Contract (US, ETF: (TLT))
Extending higher Tuesday probed the highest 132-14 bounce limit up to 132-21. That should end the bounce, and back under 131-28 would signal either a retest underway of last week’s lows, or a shallower pullback targeting 131-00.

Crude Oil Jan Contract (CL, ETF: (USO))
Tuesday did not probe the 94.60 buy signal, but neither did it reject Monday’s recovery from gapping down. Potential remains alive for a breakout above the current consolidation.

Natural Gas Jan Contract (NG, ETF: (UNG, UNL))
[ROLLING COVERAGE FORWARD TO JAN] Tuesday’s highs retested the rally’s 3.88 basis Jan (3.81 basis Dec) target that Monday’s gap up had fulfilled. Late-afternoon action was probing back above intraday highs. RSIs meanwhile diverged negatively on the retest. But the interim lows held 3.84 basis Jan (3.77 basis Dec) whose break would start to signal the rally either had ended, or was about to correct substantially.

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