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Greeting Thursday's 30-Year Auction at Resistance

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Today's only real action was in bonds, with stocks falling into a 10-year auction

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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: Wednesday's only real action was in bonds, with stocks falling into a 10-year auction. Thursday's 30-year auction finds the long-bond precariously positioned, and not very capable of absorbing another dip.

Dollar Basket
Dec Contract DX; (NYSEARCA:UUP), (NYSEARCA:UDN)
While Tuesday's rally had essentially ignored 80.00 resistance on the way to 80.20, Wednesday's session dipped to range around 80.00 down to test 79.95. Back above 80.10 would resume the rally next targeting 80.55 and potentially 81.00.

Eurodollar
Dec Contract EC; (NYSEARCA:FXE)
Potential for a corrective bounce to 1.2950-1.2975 barely extended Wednesday to test 1.2925. Regardless, back under 1.2880 would resume the decline next targeting 1.2805.

Gold
Dec Contract GC; (NYSEARCA:GLD)
Wednesday's choppy narrow range tested Tuesday's low and 1760.00, ultimately holding each. Its break is still required to remove all near-term potential of resuming the rally up to 1814.00.

Silver
Dec Contract SI; (NYSEARCA:SLV)
Wednesday's narrow inside session kept alive potential for extending down to 33.00.

30-year Treasury
Dec Contract US; (NYSEARCA:TLT)
Wednesday's gap down was recovered back into positive territory, extending sharply higher to test the 148-26 bounce limit. Now closing under 148-00 would signal momentum reversing down.

Crude Oil
Nov Contract CL; (NYSEARCA:USO)
The recent bounce up to 93.00 resistance did not extend higher Wednesday. It was almost rejected, falling back to the original 91.20 bounce limit. A recovery above 93.00 is still needed to even begin signaling a rally underway. Otherwise, the outstanding 87.00 target would be in-play under 91.20.

Natural Gas
Nov Contract NG; (NYSEARCA:UNG), (NYSEARCA:UNL)
A pullback barely pierced the 3.45 pullback limit Wednesday before recovering back to Tuesday's 3.51 high. Thursday's EIA report should extend the rally if it intends to extend at all.

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.
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.

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