CURRENCIES
The September U.S. dollar index is slightly higher in early
morning electronic dealings. Dollar index bulls still have
some near-term technical momentum. However, slow
stochastics still show the DX as short-term overbought. The
dollar index finds shorter-term technical resistance at
Monday’s high of 86.51, and then at last week’s high of
86.68. Shorter-term support is seen at the overnight low of
85.90. The September Euro today finds sell stop orders are
likely located just below shorter-term technical support at
1.2600 and then more sell stops just below support at the
overnight low of 1.2575. Shorter-term technical resistance
for the Euro is seen at the overnight high of 1.2689 and
then at 1.2700. Buy stops likely reside just above those
shorter-term resistance levels. Slow stochastics do show
the Euro as being short-term oversold today, and due for a
corrective bounce.
METALS
The metals are trading mixed in early morning dealings.
Gold is higher and silver and copper are weaker. In August
gold, prices would have to push and close back above solid
resistance at $600.00 to give the bulls fresh upside
technical momentum. Key shorter-term technical support for
August gold today is $585.00. Sell stops likely reside just
below that level, and then just below support at $580.00.
Buy stops likely reside just above resistance at the
overnight high of $593.90 and then just above shorter-term
resistance at $598.40–last week’s high.
ENERGIES
Prices are trading moderately higher in early electronic
dealings. Prices pushed to another fresh two-week high
overnight. In August crude, look for buy stops to reside
just above resistance at the overnight high of $72.49 and
then at just above resistance at $73.00. Look for sell
stops just below shorter-term support at the overnight low
of $71.60, and then just below solid support at $71.00. I
look for more trading within the recent well-defined range-
-bound by key near-term support at last week’s low of
$68.65 in August crude and solid resistance at $73.00. But
a drop below the aforementioned trading range–including
multiple closes below it–would then likely mean a trading
range in crude oil prices between $65.00 and $70.00.
GRAINS
Prices were mostly firmer in overnight electronic trading,
on a corrective bounce from strong losses Monday. Non-
threatening weather in the Corn Belt at present, with no
threatening weather in the long-range forecasts, will keep
buyers tentative for at least the near term. Trading this
week will be more subdued ahead of Friday’s all-important
USDA updated acreage reports. Look for a very active
trading day on Friday.
