Gold's corrective dip

February 2, 2015 02:10 PM

A daily summary of high-profile members of several complexes.

Eurodollar Mar Contract (EC, ETF: (FXE)) 
Several days of dull, shallow drifting lower were retraced Monday, which is to say that price firmed to attack 1.1370. Any higher Tuesday would be credible for surging to 1.1585 . Otherwise, Monday's firming was a last gasp before retesting lows under 1.1190.

Gold Apr Contract (GC, ETF: (GLD)) 
Monday's gap down from testing 1277.50 was recovered entirely from 1266.50. There isn't much room or time to delay reacting down again under 1272.00 to retest Thursday's 1252.00 low and to resume Thursday's break to complete the corrective dip.

Silver Mar Contract (SI, ETF: (SLV)) 
Friday's 17.32 bounce high was retested Monday after gapping down, but the balance of the session essentially ranged narrowly sideways. A fresh low under 16.95would be credible for resuming the decline.

30-year Treasury Mar Contract (US, ETF: (TLT)) 
The reaction down from Friday's late test of the long-standing 151-28 target attacked150-11 whose break would reverse the trend down. Otherwise, there remains potential for a fresh high testing 152-18 .

Crude oil Mar Contract (CL, ETF: (USO)) 
Friday's late surge through 46.25 resistance to the longstanding 48.00 buy signal was extended higher overnight to test 50.00 . Its retracement intraday was recovered. A second consecutive higher close Tuesday above 48.00 would confirm a bigger rally leg now underway.

Natural gas Mar Contract (NG, ETF: (UNG, UNL)) 
Friday's probe under Thursday's lows ended the day still testing Thursday's fresh low close, and not necessarily confirming the breakout. More fresh lows intraday Mondayare also being recovered to overlap the two low closes, not necessarily extending the decline. Although unconfirmed, the decline gets a benefit of the doubt until disproved. But any initial strength Tuesday would be credible for extending higher intraday.

About the Author

Rod David develops analytical techniques that are designed to efficiently identify targets and turning points for any liquid stock or market in any time frame. He primarily analyzes S&Ps, generating several round-turn candidates daily. Rod publishes "Trading Plan" and more each session at the blog