S&P 500 Futures: Strong rally off the lows yesterday, and the volume into the close was strong to the upside. Still the weakness in the background that we outlined Wednesday, so it has to get through this 1105 to 1115 resistance zone to really avoid weakness in the near term. A daily close below 1092 would open for a correction lower towards 1056 support next. Next key resistance level is 1128 that we expect to see some sellers towards that level as this was the break down level for the drop to 1040. Key support and the 23,60% Fibonacci retracement of the March 09 to January 2010 coming in at 1031.
Dow Jones Futures: Weak bar on Monday was confirmed with a wide down bar Tuesday on increasing volume, signaling selling pressure. However the rally off the close was rather impressive yesterday on strong volume into the close. It needs to break the 10434 resistance level to open for a stronger rally, with yesterday’s low now as support (10172).
DAX Futures: Rallying towards the +2 Sigma level at 5770 is possible if last reaction high at 5740 is taken out, but we expect some selling ahead of this 5740 level, so watch the volume on any approach towards this level. Need to see a good volume approach to have a strong break out. Broke the 5626 support yesterday, which signals more weakness ahead. We prefer shorts below 5626 level until a clear reversal signal appears.
“In the bigger picture, crude is trading inside a sideways channel with support at 67.87 and resistance at 84.33. Over supply in the Crude market mixed with tension and increased risk appetite have been some of the major drivers last 6 months, but none of these have been significantly strong to get any decent trend going in either direction.
Nat Gas Futures: Seen a 4.42 to 6.10 range for most the last 3 months, looks heavy towards 6.10 with interim falling resistance at 5.48 today. Nat Gas seems to be driven more by supply and demand in the local market than risk appetite and as winter is coming to an end the demand should drop and that is weighing on prices lately. Trading below 5 level this morning targets a test of 4.42 level (3 months range low).
Corn Futures: Have seen a volume expansion breakout above 368 level and it looks like a true break out so far with next key resistance being the 380 former support now resistance.
Soybeans Futures: The recent up move almost hit out 985 target, but we see a weak bar Tuesday that is a bit like an up trust, then followed by a weak bar yesterday that is kind of a no demand bar. We expect lower prices near term based on this weakness.
Gold Futures: Monday’s bar showed weakness and suggests that the break above 1128 resistance likely was false break and a daily close below 1098 would confirm this outlook. We note that the chart could be building another lower high and in the process of setting up another down leg to print a lower low? Last low was 1044.
10 Year Treasury Futures : Break below 116.30 was a false one with a strong rally off that base off 116.28. Now targets the 118.30 high from 5th of February and the volume looks strong so far to the upside and would not be surprised to see a break higher.
0 comments:
Post a Comment