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 Did currencies and Gold have some sort of a falling out? They seem not to be acknowledging each other’s presence lately. Gold’s recent dive barely registered among currencies, while currencies more recent surges had no effect on Gold. Their delayed movements are not reactions, at all. And now both seem to have stretched their bounces thinly.

Dollar Basket Jun Contract (DX, ETF: (UUP, UDN))
The attraction to new lows was overshot by an overnight plunge to 79.09. Now the downside’s original 79.40 target is likely to be tested as resistance, and its recovery would signal a bottom forming.

Eurodollar Jun Contract (EC, ETF: (FXE))
Rallying sharply overnight far exceeded the outstanding 1.3915 prior high’s retest on the way to 1.3950. Now that lower prior high is likely to be retested as support, regardless of the eventual resolution.

Gold Jun Contract (GC, ETF: (GLD))
Monday’s rally did not extend higher Tuesday, but only ranged narrowly instead of reversing momentum down. This setup actually makes Wednesday likelier to probe Monday’s highs. Not probing fresh highs would be bearish, almost qualifying as its own sell signal.

Silver Jul Contract (SI, ETF: (SLV))
Tuesday’s gap up never extended above Monday’s highs, or through 19.75 resistance. Nor did it dip only pennies to fill the gap back to Monday’s close. This “ineffectual optimism” isn’t necessarily bearish, but it does still require a rally session to begin by gapping up.

30-year Treasury Jun Contract (US, ETF: (TLT))
Monday’s dip to Thursday’s 135-25 high as support reacted up Tuesday through 136-00, still targeting at least one more fresh high at 136-20.

Crude Oil Jun Contract (CL, ETF: (USO))
Monday’s dip back to prior lows was recovered intraday to test Sunday night’s 100.40 high. Obligatory resistance there triggered a reaction back down under 100.00, which remains likely to recover and resume the rally. The pattern has no sell signal.

Natural Gas Jun Contract (NG, ETF: (UNG, UNL))
Tuesday’s gap up back above Monday’s range helps to reject its dip back under the 4.71 sell signal. But not entirely, not without also recovering 4.80, which held as resistance.

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