Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

As Weekend Begins, Euro Is Forced Back to Reality

By

Take a look at the intraday action in commodities.

PrintPRINT
The following are the latest daily summaries of my ongoing intraday coverage, providing context to interpret price action. Any prices listed are for a contract's current "front month." Their direction tends to correlate with any ETFs listed for each.

Today's Highlight: The impending weekend forced the euro back to reality as was expected, rejecting the mid-week bounce that never gained traction. But its drop back into the range was not trending, and it could rally again, especially as gold and bonds remain in a range.

Dollar Basket
Dec Contract DX; (NYSEARCA:UUP), (NYSEARCA:UDN)
Thursday's second consecutive recovery from probing intraday under support required Friday to reward those buyers by rallying to fresh highs. Friday's surge up to 81.50 was consolidated above prior highs, suggesting that it will extend higher Monday.

Eurodollar
Dec Contract EC; (NYSEARCA:FXE)
Thursday's failed higher high that was retraced back into Wednesday's range signaled the false bounce had ended, which all but required Friday to resume the decline. The drop under 12700 retested Tuesday's opening gap and closed back above its 1.2750 high. That requires the decline to extend down immediately Monday or else form a durable bottom.

Gold
Dec Contract GC; (NYSEARCA:GLD)
Still testing 1714.50 at Thursday's close prevented clearly signaling that a downleg was underway. Friday also ranged narrowly around it. Extending down without delay would be credible.

Silver
Dec Contract SI; (NYSEARCA:SLV)
Holding a dip to 32.25 Thursday did not prevent a lower low Friday, but 32.25 did hold again as support. There is still no active signal.

30-year Treasury
Dec Contract US; (NYSEARCA:TLT)
A fresh high up to 152-21 was retraced back down under the two prior highs at 152-10, which were were still being tested at the close. Rejecting the breakout attempt would still require breaking lower Monday.

Crude Oil
Dec Contract CL; (NYSEARCA:USO)
Despite retracing all of Wednesday's Gaza-related surge, Thursday's drop retraced only the surge and stopped short of breaking lower to resume the decline. That kept the door open for another bounce Friday, which gapped up to retest the prior surge's highs, which held as resistance. Any higher could extend up to 89.00, but there remains potential otherwise to resume the decline.

Natural Gas
Dec Contract NG; (NYSEARCA:UNG), (NYSEARCA:UNL)
Thursday's wide ranging back down to 3.70 made trending unlikely, and unlikely to gain traction if attempted. Friday did rally back up to relevant resistance 3.80, and any higher close would trigger a new upleg.

Editor's note: Rod's analytical techniques are designed to efficiently identify targets and turning points for any liquid stock or market in any time frame. He applies his techniques live intraday, primarily to S&P futures, at RodDavid .com.
< Previous
  • 1
Next >
No positions in stocks mentioned.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
PrintPRINT
 
Featured Videos

WHAT'S POPULAR IN THE VILLE