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 Sleeping dogs don’t lie around for very long. Gold had hovered at support before Friday’s Employment Situation report, and then it hovered under resistance for a couple of days. Despite testing another resistance, it shouldn’t lie around here very long, either.
Dollar Basket Jun Contract (DX, ETF: (UUP, UDN))
Gapping up Tuesday fulfilled the outstanding retest of last Thursday’s ~80.80 opening gap above all prior highs. Also retesting Thursday’s ~81.07 intraday high would become vulnerable to reversing down and forming a durable top.
Eurodollar Jun Contract (EC, ETF: (FXE))
Tuesday’s gap down probed under 1.3580 and 1.3570 which both required being retested. Last Thursday’s 1.3505 actual low wasn’t tested, which would help to form a bottom if probed and then recovered back above 1.3580 and 1.3570.
Gold Aug Contract (GC, ETF: (GLD))
Chipping away at 1256.00 resistance spiked higher Tuesday to test 1263.70 resistance, and then only ranged sideways. Any higher would target 1274.50, but otherwise back under 1254.50 would signal another downleg underway targeting fresh lows at 1236.50.
Silver Jul Contract (SI, ETF: (SLV))
Tuesday’s gap up to 19.25 only ranged sideways narrowly at the prior three sessions’ high centered around 19.15. Back under 19.05 would target new lows under 18.65.
30-year Treasury Sep Contract (US, ETF: (TLT))
Dipping slightly Tuesday did not resume the recent weakness, nor did it form a bottom that might launch a plausible recovery. But unless 135-22 were recovered, back under 134-24 and 134-18 would launch a new downleg.
Crude Oil Jul Contract (CL, ETF: (USO))
Monday’s attack on prior highs wasn’t rejected Tuesday, but neither did it maintain the morning’s extension higher that touched 105.00 intraday. No second consecutive higher close suggests that the rogue surge’s intent was limited to retesting the prior highs, and not to launching a new upleg. Regardless, a downleg requires closing back under 103.50.
Natural Gas Jul Contract (NG, ETF: (UNG, UNL))
Gapping down Tuesday to the 4.61 pullback limit extended down intraday to 4.54, which is slightly deeper than a more constructive backing-and-filling from last week’s fresh highs. Back above 4.61 by an amount equivalent to probing under it would confirm a new rally leg is underway.
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