Among the casualties was a 9-month price channel on the S&P 500 E-mini futures contract (/ES) – the line is coloured yellow in the chart below. The June nadir of 1252.25 was undercut as well. After-hours trade brought /ES to the round number of 1250 and several ticks below. The next significant price-channel support on the daily-bars chart appears a good distance away, near 1225.
/ES, daily bars:
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgfOQCJUq0uibKstf2BQxF-l9rbveaXKNUBh_O6_o_6YT3rdJBYc0ClTZePCDUKNhJoPa-t-0ZOrQu9HXpvIjJPwNWyBHvV2Qer5cLub6WSeQyzrC542YVOmNDpneHu077Xl7upWhDFcGA/s400/ES+daily+bars.jpg)
The gold contract (/GC), sometimes a measure of risk aversion and other times one of risk appetite, today rallied in vertiginous fashion; clearly the zeitgeist of today's session pronounced the yellow metal as a safe harbour. In fact, gold has rallied so much in recent days that the current price -- about $1660 an ounce (yes, already so high!) – kisses a significant upward-sloping price channel on the daily-bars chart. As such, price action is at heightened risk of creating a short-term top.
/GC, daily bars:
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEicZl2vwZ3tbNq6pm8d4ZbqzCcNE88-oktf0YilattN4wJ8WmDEdJibJS9nMmvvZaNYwu3gg3-cE-E2lMcmA3fA8Gm8S5_5YdRiukPbkDhtO559Uy96h9iBkud-82pMv79Uz86fSDNTWts/s400/GC+daily+bars.jpg)
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