Silver's New Low Recovered Later in the Day

Minyanville

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: Silver's early drop to a new low was recovered back above relevant support. Unless repeated immediately, Thursday should rally back to recent highs, and eventually through them.

[More from Minyanville.com: Crude Oil Came Alive Today ]

Dollar Basket
Jun Contract DX; (UUP), (UDN)
Tuesday night's rally through 83.20-83.40 gapped up Wednesday to fresh highs testing 83.50. Pullbacks must now hold tests of 83.30 to maintain the breakout, and a close under 83.00 would signal momentum reversing down sharply.

[More from Minyanville.com: Gold: Whether or Not Cyprus Sparks a Bank Run, the Yellow Metal Is Going Higher ]

Eurodollar
Jun Contract EC; (FXE)
Wednesday's immediate follow-through to fresh lows was appropriate for Monday's breakout, since Tuesday's confirmation was only a new low close. The trend remains down so long as 1.2865 is not recovered.

Gold
Apr Contract GC; (GLD)
Wednesday's recovery back above 1596.50-1601.00 neutralized an outstanding gap above. Sellers must retake control by Thursday afternoon to avoid a new upleg launching. (Coverage rolls tomorrow to June.)

Silver
May Contract SI; (SLV)
Wednesday's gap down to 28.32 narrowly avoided piercing prior lows. So, recovering the intraday low's new low to close back above 28.65 left no unfinished business below. Almost any higher high initially Thursday, confirmed above 29.10, could extend up above 30.35.

30-year Treasury
Mar Contract US; (TLT)
The delayed breakout above 143-22 compensated for its delay Wednesday by gapping up sharply to 144-16. Extending higher without delay Thursday would target 145-14 and 145-22.

Crude Oil
Apr Contract CL; (USO)
The opportunity for a pullback Wednesday was only shallow as an initial dip was recovered to fresh highs testing 96.85. The 99.00 target remains intact, now likely to be met without much further hesitation.

Natural Gas
Apr Contract NG; (UNG), (UNL)
Tuesday's failure to confirm Monday's break lower was rewarded by probing fresh highs Wednesday above 4.00. A second consecutive higher close Thursday would target 4.40.
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.

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