U.S. Dollar Hits 5.5-Month High in Early Trading

CURRENCIES

The December U.S. dollar index is strongly higher in early trading. Prices hit a fresh 5.5-month high. Slow stochastics are bullish. The dollar index finds shorter-term technical resistance at 87.00 and then at 87.50. Shorter-term support is seen at 86.50 and then at the overnight low of 86.19. Wyckoff's Intra Day Market Rating: 8.0

The December Euro is solidly lower in early electronic trading. Prices hit a fresh 5.5-month low overnight. The Euro finds sell stop orders are likely located just below technical support at 1.2550 and then more stops just below support at 1.2500. Shorter-term technical resistance for the Euro is seen at 1.2600 and then at the overnight high of 1.2661. Buy stops likely reside just above those levels. Slow stochastics for the Euro are bearish for today. Wyckoff's Intra Day Market Rating: 2.0

METALS

Gold is trading moderately lower early today, pressured by the stronger U.S. dollar. In December gold, shorter-term technical support is seen at $575.00 and then at $570.00. Sell stops likely reside just below those levels. Buy stops likely reside just above resistance at $580.00 and then more buy stops just above shorter-term resistance at the overnight high of $585.50. Wyckoff's Intra-Day Market Rating: 4.0

ENERGIES

Crude oil prices are lower in early electronic dealings. In November crude, look for buy stops to reside just above resistance at $60.00 and then just above resistance at the overnight high of $60.68. Look for sell stops just below technical support at $59.00, and then more sell stops just below support at $58.50. Wyckoff's Intra-Day Market Rating: 3.0

GRAINS

Prices were widely mixed in overnight electronic trading, with wheat locked limit up following a limit-up move Monday. Bulls still have solid near-term technical momentum in the grains, with wheat leading the way. The funds have taken a keen interest on the long side of these markets. I look for more volatile price action in the near term. Wheat will continue to be the leader of the grains, regarding significant price moves.