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.
Eurodollar Sep Contract (EC, ETF: (FXE))
Thursday’s bounce had filled the gap back up to Wednesday’s close, only neutralizing its attraction above instead of exceeding it to trigger higher attraction. Friday’s fresh lows created a new gap, but won’t be bullish without gapping up again on Monday.
Gold Oct Contract (GC, ETF: (GLD))
Thursday’s recovery had settled at a test of higher prior lows, failing to reject the decline’s sponsorship. The consequence was to retest the 1216.00 lows down to 1214.20, and to close Friday under prior sessions’ lows. Gapping up above 1220.20 and 1223.70 would be credible for launching a sizable corrective rally.
Silver Sep Contract (SI, ETF: (SLV))
Bouncing only to higher prior lows at Thursday’s close prevented the recovery attempt from gaining traction. The consequence was a slide to sharply lower lows Friday testing 17.80. It is the second consecutive lower close from the prior consolidation, so a third lower close is likely before a durable recovery would be credible, unless Monday’s open were to retrace the entirety of Friday’s range.
30-year Treasury Dec Contract (US, ETF: (TLT))
Fresh lows overnight fulfilled the requirement to probe however briefly under Thursday morning’s Double Bottom. Friday’s gap up to and through 136-04 was retraced enough to qualify as filling the gap back to Thursday’s close, neutralizing that attraction below. And the balance of the session rallying to fresh highs fulfilled the buy signal. The minimum objective is to retest the prior consolidation around 137-10. Closing any higher would target 138-02 and potentially also 138-16.
Crude Oil Nov Contract (CL, ETF: (USO))
[Rolling coverage today from Oct to Nov] The new front-month is trading at about a .70 discount to our prior levels… The pullback that needed to attack the 92.60 area (basis Nov, 93.30 basks Oct) was exceeded a little Thursday, and more on Friday. Back above 92.60 would start to signal the pullback had run its course. But that should be almost immediate Monday to be valid, since the optimal resolution would have started rallying already Friday.
Natural Gas Oct Contract (NG, ETF: (UNG, UNL))
Only holding at 3.91 Thursday instead of recovering kept alive potential for fulfilling the preferred pullback target at 3.83. Friday’s low tested and held 3.83, also not recovering it into the close, but creating potential for a bottom to be obvious Monday.
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