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 Turkey’s news was more surprising than the FOMC’s news. With such weighty news already released, it’s likely that Wednesday’s trend extremes are maintained for some time going forward.

Dollar Basket Mar Contract (DX, ETF: (UUP, UDN))
Tuesday’s gap up was never retested that afternoon despite attacking it. Wednesday’s gap up through it reacted back down, too, but also avoided reversing into negative territory just like Tuesday. The likelier scenario continues to be resolving up.

Eurodollar Mar Contract (EC, ETF: (FXE))
An overnight plunge in reaction to Turkey’s interest rate hike  was recovered well before the FOMC news. But the recovery didn’t extended in reaction to the FOMC news, suggesting that the gap down to Wednesday’s open will be filled.

Gold Feb Contract (GC, ETF: (GLD))
Wednesday’s rally prevented extending the pullback to a constructive test of 1240.00. The attack on 1270.00 resistance was unable to extend higher. Its reaction back down to 1262.00 wasn’t very volatile following the FOMC news.

Silver Mar Contract (SI, ETF: (SLV))
Wednesday’s test of 19.95 resistance was retraced to settle back under the 19.70 pullback limit that had broken lower already Tuesday. Its immediate recovery Thursday would be  credible for extending sharply higher intraday, but there is otherwise no active pattern.

30-year Treasury Mar Contract (US, ETF: (TLT))
The likelihood for fresh highs at 133-16 was fulfilled Wednesday. The rally is vulnerable to extending higher without delay, at least so long as 133-02 holds as support. But there is no higher objective in-play, and back under 132-12 would now signal momentum reversing down.

Crude Oil Mar Contract (CL, ETF: (USO))
Tuesday’s surge was absorbed by Wednesday morning’s backing-and-filling. The rally didn’t exactly resume, but it was retraced enough to momentarily probe above Wednesday’s high to 97.75. There is no bullish excuse to further delay probing fresh highs well on the way to the 98.55 target.

Natural Gas Mar Contract (NG, ETF: (UNG, UNL))
Sunday night’s highs were probed considerably Wednesday up to 5.48, which should be the high of the retest since there was no constructive interim pullback. Back under 5.28 would signal the high’s retest had held. Closing under 5.15 and 5.03 would signal a new downleg underway.

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