Daily Spot

A daily summary of high-profile members of several complexes…[pay] View a more detailed discussion of each chart at the end of today’s Market Wrap.

Today’s Highlight A skittish start to the week found most markets unwilling to trend. Even Gold, which gapped traded down sharply overnight, managed a bounce that filled the open’s gap back up to Thursday’s high. If expiration and the holiday weekend inhibited volatility, then the balance of the week should pick up the pace significantly.

Dollar Basket Jun Contract (DX, ETF: (UUP, UDN))
Monday’s dip above the recent narrow range only offset Thursday’s momentary probe under it. But extending any higher to 80.15 would qualify as a false break that could then react down more substantially to fresh lows.

Eurodollar Jun Contract (EC, ETF: (FXE))
Thursday’s opening surge had been retraced before the weekend, and then it extended down deeper into the new week. The recent narrow range hasn’t yet been broken substantially enough in either direction to qualify even as a false break. But a false break remains likely.

Gold Jun Contract (GC, ETF: (GLD))
Monday’s opening gap spiked down to immediately retest last week’s plunge, confirming that the interim bounce had held resistance. The gap back up to Thursday’s close was filled, and could be exceeded to include “higher prior lows” around 1298.00. But a drop to new lows remains likely.

Silver May Contract (SI, ETF: (SLV))
Gapping down Monday settled very quickly into a relatively narrow range just under 19.40. That neutralized the gap back down to last Tuesday’s opening gap. It’s not a buy signal, but now a buy signal would be credible.

30-year Treasury Jun Contract (US, ETF: (TLT))
Monday’s bounce held “higher prior lows” at 134-10 and reacted down. Closing under 134-06 should then leave no upside attractions to further delay extending a much deeper drop targeting at least 132-10.

Crude Oil May Contract (CL, ETF: (USO))
Sunday night weakness wasn’t very weak, and Monday weakness wasn’t weak at all. The extended narrowing range at 104.50-105.00 suggests the first trending attempt will be a false break that reverses more substantially in the opposite direction.

Natural Gas May Contract (NG, ETF: (UNG, UNL))
Overnight attempts to extend higher weren’t duplicated intraday Monday, and the recent bounce remains vulnerable to being retraced.

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