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 Crude Oil’s surge extended the bottoming effort that began with last week’s brief probe under prior lows. The question now is whether the bottoming effort has ended, since the consolidation range’s upper-end is being challenged after expending so much energy so quickly.

Dollar Basket Dec Contract (DX, ETF: (UUP, UDN))
Monday’s gap up wasn’t confirmed Tuesday. More so, Tuesday’s open gapped back down to Friday’s close under 80.70, and trended down intraday to attack Friday’s 80.50 low. Back above 80.80 would signal another recovery attempt underway, but there is otherwise no active signal.

Eurodollar Dec Contract (EC, ETF: (FXE))
Monday’s gap down wasn’t confirmed Tuesday. More so, Tuesday’s open gapped back up to Friday’s close above 1.3580, and trended up intraday to touch 1.3615 resistance. Back under 1.3545 would signal another reversal attempt underway, but there is otherwise no active signal.

Gold Feb Contract (GC, ETF: (GLD))
Fresh lows Monday night and Tuesday held two tests of July’s lowest unfilled gap at 1217.50. But a second consecutive lower close, which was also under 1230.50 again, confirmed a bigger break underway. One more fresh low close might suffice. But an immediate recovery attempt would be premature and doomed to failure.

Silver Mar Contract (SI, ETF: (SLV))
Tuesday’s fresh low attacked the 18.90 target, creating a bounce limit at 19.10, whose recovery would signal the drop was ending.

30-year Treasury Mar Contract (US, ETF: (TLT))
Tuesday’s gap up didn’t extend higher, leaving outstanding the decline’s minimum target at 129-16, with potential to 128-10.

Crude Oil Jan Contract (CL, ETF: (USO))
Any initial strength Tuesday was likely to extend sharply higher intraday, which Tuesday’s early surge through 94.15 to 96.19 fulfilled. Closing above 95.00 puts into play a test of 97.15.

Natural Gas Jan Contract (NG, ETF: (UNG, UNL))
Potential for extending up to 4.25 became more suspicious Tuesday when a fresh high above 4.00 reacted back down into negative territory. But a close under 3.88 is still needed to signal momentum reversing down.

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