KEY TERMS
OVB Outside Vertical Bar
VRCB Volatility Reduced Compression Bar
Brent Crude Oil (November):
- Short Term Trends are bearish.
- Confirmation of a top with a range violation on 10/02/12 @ 111.46. Confirmation of a top with a close violation on 10/03/12 @ 108.17. Downside Targets = 103.22 – 101.89.
- Possible TREND REVERSAL to bullish with a range violation @ 112.70. Possible TREND REVERSAL to bullish with a close @ 112.70 or higher.
- November Brent Crude rallied back strongly on Thursday because of rising tensions in Syria and Turkey that helped to push the market to its highest close since mid-September.
- Brent should continue its move higher heading into the weekend but look for this market to stall next week as it tries to penetrate the $115 mark.
- Projected Daily Range: 3.18
- Projected Weekly Range: 6.30
- Projected Monthly Range: 12.02
WTI Crude Oil (November):
- Short Term Trends are bearish.
- Confirmation of a top with a range violation on 10/03/12 @ 91.25. Confirmation of a top with a close violation on 10/03/12 @ 88.94. Downside Targets = 89.28 – 86.44.
- Possible confirmation of a bottom with a range violation @ 91.85. Possible confirmation of a bottom with a close @ 91.85 or higher.
- November WTI Crude Oil followed Brent higher on Thursday as the escalating tensions throughout the Middle East had traders on edge as Wednesday’s losses were eradicated.
- While all signs may point to this market trading significantly higher over the next few sessions, look for strong technical resistance above last week’s high and $94.56.
- Projected Daily Range: 3.12
- Projected Weekly Range: 5.96
- Projected Monthly Range: 11.33
Natural Gas (November):
- Short Term Trend is bullish.
- Confirmation of a bottom with a range violation on 09/24/12 @ 3.080. Confirmation of a bottom with a close violation on 09/25/12 @ 3.105. Upside Targets = 3.602 – 3.747.
- Possible confirmation of a top with a range violation @ 3.347. Possible confirmation of a top with a close violation @ 3.347 or lower.
- November Natural Gas saw a very erratic trading session on Wednesday after a heavy supply injection was unable to keep the market lower as it rallied back the new highs for the day in the last hour of trading.
- With natural gas settling above $3.40 on Thursday, look for bulls to return in the short term and push this market to new yearly highs and into the upper resistance channel of 3.602 – 3.747.
- Projected Daily Range: .115
- Projected Weekly Range: .298
- Projected Monthly Range: .624
METALS
COMEX Gold (December):
- Short Term Trends are bullish.
- Confirmation of a bottom with a range violation on 09/28/12 @ 1783.00. Confirmation of a bottom with a close violation on 10/01/12 @ 1790.10. Upside Targets = 1824.00 – 1829.50.
- New highs made on current move Thursday @ 1797.70. Upside Target 70% achieved.
- December Gold generated new 2012 highs on Thursday after stopping just shy of the $1800 threshold as bullish momentum picked back up for the first time in a week.
- Look for gold to finally crack the $1800 level for the first time in 2012 as it works towards the Short Term targets initially followed by the year end projections of $2000+/oz. gold.
- Projected Daily Range: 20.30
- Projected Weekly Range: 48.20
- Projected Monthly Range: 95.30
Euro FX (December):
- Short Term Trends are bullish.
- Confirmation of a bottom with a range violation on 10/04/12 @ 1.2980. Confirmation of a bottom with a close violation on 10/04/12 @ 1.3028. Upside Targets = 1.3198 – 1.3301
- The December Euro FX moved sharply higher for its best single day gain in almost 3 weeks as ECB President Draghi reiterated the stance that the euro is “irreversible” and helped push the currency to its highest close in over 2 weeks.
- Look for continued momentum in the FX currency as it breaks through the Q3 highs and tracks down extended Intermediate Term upside objectives.
- Projected Daily Range: .0091
- Projected Weekly Range: .0269
- Projected Monthly Range: .0600
E-Mini S&P (December):
- Short Term Trends are bullish.
- Confirmation of a bottom with a range violation on 10/01/12 @ 1444.75. Confirmation of a bottom with a close violation on 10/03/12 @ 1444.75. Upside Targets = 1465.00 – 1481.25
- New highs made on current move Thursday @ 1457.75.
- The December S&P’s followed through with near precision on Thursday morning’s projection that this market would trade up to 1457 with a strong Romney showing and traded just 3 ticks through the price on Thursday.
- Expect the S&P’s to continue higher on Friday as the market targets the initial upside objective of 1465.
- Projected Daily Range: 13.50
- Projected Weekly Range: 36.25
- Projected Monthly Range: 74.50
