KEY TERMS
OVB Outside Vertical Bar
VRCB Volatility Reduced Compression Bar
ENERGIES
BRNN12:
- Short Term Trends are bearish.
- Confirmation of a bottom with a range violation on 06/06/12 @ 99.64. Confirmation of a bottom with a close violation on 06/06/12 @ 100.64. Upside Targets = 102.65 – 103.67.
- July Brent Crude rallied to new weekly highs on Wednesday as this market seemed to catch a breath of fresh air in wake of increased possibilities of monetary easing from the Fed.
- Look for Brent to continue higher towards the weekly upside objective of 102.69 assuming the U.S. has a strong Jobs report.
- Projected Daily Range: 2.72
- Projected Weekly Range: 7.06
- Projected Monthly Range: 11.82
CLN12:
- Short Term Trends are bearish.
- Confirmation of a bottom with a range violation on 05/30/12 @ 84.93. Confirmation of a bottom with a close violation on 06/06/12 @ 85.02. Upside Targets = 86.51 – 87.34
- July WTI Crude rolled higher again on Wednesday after a draw in crude inventories helped the market trade to its highest level this week despite having a weak close.
- Look for WTI to follow through on yesterday’s report calling for a move this week to 87.50 achieving the full weekly range of 6.29.
- Projected Daily Range: 2.34
- Projected Weekly Range: 6.29
- Projected Monthly Range: 11.27
NGN12:
- Short Term Trends are bullish.
- Confirmation of a bottom with a range violation on 06/04/12 @ 2.441. Confirmation of a bottom with a close violation on 06/05/12 @ 2.477. Upside Targets = 2.594 – 2.661.
- Double VRCB generated on Wednesday after making new highs on current move @ 2.487.
- July Nat Gas traded within another tight range on Wednesday ahead of the Thursday storage report yet closed just below the daily mid-range after failing to crack through $2.50.
- Due to the strong base that has been built over the past six sessions, should tomorrow’s numbers be bullish, this market should accelerate higher to our first Short Term objective @ 2.594 by day’s end. However, because of the fact we had a Double VRCB this market could be running out of gas setting up to go back and test the low set on 04/20/12 at $1.902.
- Projected Daily Range: .102
- Projected Weekly Range: .301
- Projected Monthly Range: .490
METALS
GCQ12:
- Short Term Trends are bearish.
- Confirmation of a bottom with a range violation on 06/01/12 @ 1574.70. Confirmation of a bottom with a close violation on 06/01/12 @ 1601.50. Upside Targets = 1677.50
- New highs made on current move Wednesday @ 1642.40. Targets 70% achieved.
- August Gold looked strong in early trading on Wednesday before giving up most of its gains on the Beige Book information that led investors to think the economy may not be as bad as thought, thus reducing demand for the safe-haven metal.
- After a more than $110/oz. move higher over the last six sessions, Gold may be due for a Short Term correction before eventually moving higher towards our upside objective of $1,677.50.
- Projected Daily Range: 20.00
- Projected Weekly Range: 79.50
- Projected Monthly Range: 105.90
CURRENCIES
ECM12:
- Short Term Trends are bearish.
- Confirmation of a bottom with a range violation on 06/05/12 @ 1.2512. Confirmation of a bottom on a close violation 06/06/12 @ 1.2546. Upside Targets = 1.2628 – 1.2755
- Upside Targets already 85% achieved.
- The June Euro FX saw its largest one day gain in almost three months on Wednesday as the market was able to continue to move higher, relieving selling pressure.
- Should volatility begin to dry up around our upside objectives, one should look for a strong sell signal that would send this market back to retest the lows at 1.2288.
- Projected Daily Range: .0135
- Projected Weekly Range: .0310
- Projected Monthly Range: .0575
INDEXES
ESM12:
- Short Term Trends are bearish.
- Confirmation of a bottom with a range violation on 06/06/12 @ 1287.00. Confirmation of a bottom with a close violation on 06/06/12 @ 1315.50. Upside Target = 1339.00.
- The June S&P’s saw their largest one day gain of 2012 on Wednesday as the prospect for addition QE as well as a more upbeat Beige Book report lifted this market to new highs for the week and sets up for the possibility for a Short Term TREND REVERSAL back to bullish with a range violation above 1334.25.
- The S&P’s are moving higher on “HOPES” that the fed will come to bail out the economy, which will predicate a large setback should there be a Greek exit from the Euro.
- Projected Daily Range: 23.75
- Projected Weekly Range: 54.75
- Projected Monthly Range: 90.25
