Daily Spot: Metals

A weekly summary of one complex, including daily updates of other developments elsewhere.[pay]

Gold Apr (GCJ) That explains that. Now we know why repeated tests of 1376.00 never pushed back. World instability has two or three close friends, and this is one.  Thursday’s close above it and Friday’s confirmation squeezed in ahead of Sunday night and Monday’s rally to 1411.50.

Dollar Basket Mar (DXH) If not for being a safe haven... The Dollar rallied overnight much higher than intraday, when more of the drop occurred. The session closed while still testing 77.85, whose decisive recovery would signal last week’s drop was a correction that had ended.

30-year Treasury Mar (USH) Attractive, relatively. Another friend in falling markets, the long-bond showed why its repeated tests of 119’04-119’16 were unable to produce a reactionary decline. Near-term potential is to probe 122’04, so long as price action is aggressive.

Crude Oil Apr (CLJ) Holding strong. Tuesday’s eventual pullback held support at the upper-end of what had been the rally’s 92.85-93.60 target. After retesting the high up to 100.50, if accompanied by negative divergence, a retest of 92.85-93.60 will be likely. Testing 92.85 first would help to fuel a more powerful and durable recovery.

Natural Gas Mar (NGH) One side is lying. Tuesday’s early strength seemed to be the long-awaited corrective bounce. But its reversal into negative territory to new lows seemed to say otherwise. It didn’t say it strongly enough – the close was still in the process of testing prior lows, yet again. Additionally, Tuesday’s gap up is now unfinished business above that will try to attract price higher.

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Daily Spot coverage schedule is: Currencies (Mon), Metals (Tue), Energies (Wed), Rates (Thu), Weekender (Fri).