Afternoon look at gold, crude, Treasuries & more

July 3, 2018 02:41 PM

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

Gold Aug Contract (GC, ETF: (GLD))
Fresh lows under $1,239.00 per oz. overnight stopped short of fulfilling potential to 1237.50 before reversing up sharply. Tuesday’s open was greeted at 1248.50 and extended to 1258.50. A pullback to 1247.50 could suffice to form a bottom, but under 1244.50 would signal a corrective bounce was reversing down.

Silver Sep Contract (SI, ETF: (SLV))
Tuesday’s 16.00 open was greeted by an overnight rally that extended intraday up to 16.08. A pullback to 15.93 would be optimal for forming a bottom that could launch a significant trend reversal.

30-year Treasury Sep Contract (US, ETF: (TLT))
Still testing downtrending resistance under 144-26 Tuesday reacted up to attack the recent range’s 145-16 upper-end. Back under 144-08 would signal momentum reversing down, but the pattern otherwise remains vulnerable to extending higher.

Eurodollar Sep Contract (EC, ETF: (FXE, UUP))
Tuesday’s gap up didn’t  extend,  but held 1.1295 to avoid signaling the trend reversing up above 1.1745.

Crude oil Aug Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
Coming to within 3 cents of the longstanding 75.30 target Tuesday coincided with headlines of Saudi increased oil output. The steep reaction down to $72.75 per barrel stopped optimistically short of touching Sunday night’s gap down, suggesting an eventual break lower. Meanwhile, Tuesday’s 75.00 open gapped up above all prior highs, and would like to be retested from below. Upside remains likelier first so long as the 72.95 pullback limit continues holding.

Natural gas Aug Contract (NG, ETF: (UNG, UNL))
Monday’s temporary probe under the 2.82 sleeper low had failed to extend, so Tuesday’s rally touched 2.90 and closed at 2.88 support. Higher prior lows could be tested up to 2.92 before resuming the decline.

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