Afternoon look at gold, crude, Treasuries & more

August 1, 2018 02:10 PM

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

Gold Dec Contract (GC, ETF: (GLD))
Another choppy directionless session Wednesday essentially tested both ends of its narrow range. The intraday test of $1,227.00 per oz. was ongoing into the close, and reacted up later on the FOMC policy statement.

Silver Sep Contract (SI, ETF: (SLV))
Dropping back down to the 15.40 sell signalWednesday held as support through the close, and bounced slightly afterward on the FOMC policy statement.

30-year Treasury Sep Contract (US, ETF: (TLT))
Gapping down Wednesday to 142-14 was several ticks above Monday’s low. Probing it down to 141-27 was recovered back into Monday’s range. There is on unfinished business below if the trend wants to reverse up, which would be triggered above 142-26 and 143-02.

Eurodollar Sep Contract (EC, ETF: (FXE, UUP))
The reaction down from Tuesday’s gap up had held 1.1725 through the close. Wednesday resumed the decline to test 1.1700 before the FOMC news. That filled the gap back down to Friday’s close, where closing any lower would launch a new  downleg . The immediate reaction bounce, avoiding the sell signal. Closing above 1.1740 would  triggger  a reversal.

Crude oil Sep Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
Extending the reaction down from testing $70.30 per barrel tested prior lows at 67.50. Almost any strength Thursday would be likely to extend and at least retest Monday’s Island pattern, if not also probe it up to 71.75.

Natural gas Sep Contract (NG, ETF: (UNG, UNL))
Already testing 2.76 continued testing it throughout Wednesday, neither extending down nor rejecting it. Closing any lower would signal the trend reversing back down. Thursday’s EIA report is not being greeted from a position of strength.

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