Treasuries Pointing To Weakness In Economy?
The questionable economy is creating a choppy
yet tradable market for traders. Both the Sept. S&P 500
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and the Sept. Nasdaq 100
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today, but were able to hold above those levels despite closing negative. SPU2
closed at 883.20, down 5.90. Earlier in the session, the Sept. S&Ps tested the
50% retracement (867.80) drawn from the July and August rally. The Sept. Nasdaq 100
felt heat from the ailing Semiconductor sector
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back down to 893, losing 22, or 2.40%.
Treasuries continues their climb again in
anticipation that the Fed will move to cut rates before the end of the year
because of a still somewhat shaky economy. Tomorrow the very important
Employment figures ( Non-farm Payrolls, Unemployment Rate, Hourly Earnings, and
Average Workweek) will be released prior to the market open. The Dec. 10-year
note
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bond
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112.15. Both treasuries have set up for a possible Turtle Soup Sell Setup.
After pulling back from the recent high,
October crude oil
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This was drawn from the recent July and Aug. rally of this year. Crude oil
rallied again today attempting to break the resistance at 29.00 before pulling
back to close at $28.98 a barrel, up .71, or 2.51%. Oct unleaded gasoline
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oil
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before finally closing at 77.25, up 2.22 cents, or 2.96%, and Oct natural gas
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resistance level at 3.33, up .14, a 4.60% increase.
At the Chicago Board of Trade (CBOT), grains and
beans rallied stronger once again. Wheat was a winner once again with an
increase that made it hit the five-year high levels. The reason for the big move in
wheat is because the US, which is the world’s largest exporter, has been
hampered by drought. Other big exporters of wheat, Canada and Australia, have
also suffered crop losses and this has lead to a tightening of world supplies. In
addition, rainy weather in the growing regions has some traders fearing damage to
the US spring wheat fields. December wheat
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at $3.92 3/4 a bushel, an increase of 6.50 cents. December corn
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rallied to $2.80 3/4 a bushel, up 3.25 cents, and Nov. soybeans
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added 4.25 cents to $5.56 a bushel.
One of the strongest sectors in the equities
today was gold
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gold
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symmetrical triangle to rise 3.39, or 1.07% to close at $319.89 a troy ounce. The
next resistance level is at 321.00. December silver
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gold’s lead rallying above the 4.56 resistance level and then pulling back to
close at $.545 an ounce, a gain of 5 cents, or 1.11%. December copper
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copper up for a possible Turtle Soup Plus One Buy setup.