Gold maintaining potential

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

Gold Dec Contract (GC, ETF: (GLD))
Initially spiking up Friday to test $1,298.00 was reversed down hard into negative territory. But only momentarily as price recovered to flat-to-even, maintaining potential to $1,305.00.

Eurodollar Sep Contract (EC, ETF: (FXE, UUP))
Friday’s reaction up tested the 1.1820 buy signal, and continued testing it into the afternoon. It still lacks optimal credibility since so much time was spent hovering optimistically at the 1.1730 lower prior highs already.

Silver Sep Contract (SI, ETF: (SLV))
Friday’s dip touched Wednesday’s 16.90 lower prior highs as support and recovered back above the 17.05 pullback limit to keep alive the upside potential.

30-year Treasury Sep Contract (US, ETF: (TLT))
Initially rallying to fresh highs overnight, Friday morning’s retracement back into the 154-30/155-08 range held a test. More than hold a test, it must produce a higher close to confirm the rally has extended, and not that a top is forming.

Crude Oil Sep Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
Overnight weakness persisted into Friday’s opening test of fresh 3-week lows and of the 48.25 sell signal piercing 48.00. The reaction up held the test, but also failed to recover into 3-week range, keeping alive the potential for breaking more substantially under 48.25.

Natural Gas Sep Contract (NG, ETF: (UNG, UNL))
Friday’s narrow ranging at Thursday’s highs was not bearish, consolidating the surge and the entire week’s rally off of the prior week’s lows. It still doesn’t preclude a potential dip to 2.91-2.92 or its break down to 2.81-2.82, but from a position of strength that would likely recover and resume the rally.

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