November crude oil was slightly higher overnight as it extends the trading range of the past four days. Stochastics and the RSI remain neutral to bullish hinting that a short-term low might be in or is near. Closes above last Wednesday's high crossing at 93.66 are needed to confirm that a short-term low has been posted. If November renews the decline off September's high, the 62% retracement level of the June-September rally crossing at 87.19 is the next downside target. First resistance is last Wednesday's high crossing at 93.66. Second resistance is the reaction high crossing at 98.60. First support is the 62% retracement level of the June-September rally crossing at 87.19. Second support is the 75% retracement level of the June-September rally crossing at 84.29. Continue reading "Morning Energy Commentary"
Gold Chart of the Week
Each week Lo
ngleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.
Weekly Gold Report (October 15 through October 19)
I stand corrected and I do not mind admitting it. The past few weeks, I have been suggesting that December Gold would see short dips being bought and would likely rally through $1800 an ounce in the near future. We begin this week trading below $1750 an ounce and I am somewhat surprised. While today’s low is seen as a decent support level off of the September 26th price, I am still left questioning whether Gold’s hangover will continue.
Normally I try to fill this report with a review of last week’s fundamentals to explain the trade, but I will spare you the boredom. Here is a “Cliff’s Notes” version of the reports and action last week from the United States, Europe, and China. In the United States, the idea of QE3 (printing US Dollars and purchasing debt) has now officially faded as most markets have corrected the move up. On top of that, the huge Michigan Consumer Confidence number only resulted in a thirty second rally, followed by a selloff to finish the week. In Europe, there is one thing only to report. That is that for the sixth week straight, the market continues to worry about whether or not Spain will request a bailout and allow the ECB to buy Spanish debt and reduce borrowing costs. Thankfully, none of the traders that I know are holding their breath waiting for a final answer from Spain. And in China, the reports continue to be one question mark after the next. So what are we left with? We are left trading technicals in lighter volume that are still driven by HFT programs. I believe that if we do not hear about a formal request for a bailout from Spain soon, that we may have to wait until after the US Presidential Elections before the market environment changes. Continue reading "Gold Chart of the Week"
Daily Video Update: Consumer Confidence Grows
Hello traders everywhere! Jeremy Lutz with your mid-day market update for Monday, the 15th of October.
Stocks move higher today after a strong gain in retail spending suggested that consumers could be getting more confident about the economy. The Commerce Department said retail sales rose 1.1 percent last month after a 1.2 percent increase in August. Those are the largest gains since October 2010.
The price of oil is falling today and giving back the gains from last week. The focus instead is on weaker oil demand. On Friday, the International Energy Agency issued a new report predicting slower growth in demand for oil over the next five years. The agency also forecast that supplies will increase as the global economy struggles to grow.
Now, let's analyze the major markets and stocks on the move using MarketClub's Trade Triangle Technology.
Casey Analyst Forecasts Explosive Biotech Growth
The Life Sciences Report: At Casey Research's "Navigating the Politicized Economy" summit, you talked about the difference between the speed of science and the speed of technology, and how quickly the time to market and cost of products in the life sciences space is decreasing. Can you provide some examples?
Alex Daley: Many technologies, like the touch-screen tablets and smartphones that now dominate the market, seem to come out of nowhere, perpetuating the myth of technology as almost magical. But you only have to look as far as the as-yet-unfulfilled promises of recent years to see the slow development curve that leads to explosive growth. This has been most noticeable in the advent of genetic medicine.
We all remember the sequencing of the human genome as a scientific milestone. Announced in 2000, just at the turn of the millennium, it was followed by much media fanfare about the dawn of genetic medicine. Every untreatable disease was going to be cured. Every person was going to receive medicine tailored to his or her unique makeup. Continue reading "Casey Analyst Forecasts Explosive Biotech Growth"
Will Trinity Industries pass the MarketClub test?
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On Tuesday, a Raymond James analysis upgraded TRN, traded on the New York Stock Exchange, to a "strong-buy" rating. Trinity industries, an industrial manufacturer, claims an 80% jump in the second quarter for their rail car business. Continue reading "Will Trinity Industries pass the MarketClub test?"
