During the session on Thursday, the only announcement that we are paying attention to is the Core Durable Goods announcement coming out of the United States, which could move quite a bit of the markets out there as the Federal Reserve has recently startled the markets with their insistence that the global economy makes it too dangerous to raise interest rates.
Gold markets continue to meander in a fairly tight range
Gold markets are performing a nice consolidation at the moment, as the $1120 level is massively supportive, while the $1140 level above is massively resistive. With this, we will continue to trade short-term opportunities off of both of these levels. We like buying calls on short-term pullbacks as long as we can stay above the $1120 level, but also recognize that short-term put buying opportunities can present themselves near the $1140 level.
WTI Crude Oil consolidating as well
The WTI Crude Oil markets pull back slightly during the session on Wednesday, as we continue to consolidate much like we are in the gold market. In this particular market, we see plenty of support near the $44 level, so we are call buyers as we approach at level on signs of a bounce. On the other hand, we recognize that the $48 level above is massively resistive, and if the market falls from an attempt to get above there, we would also be interested in buying puts.
DAX might be finding support
The DAX went back and forth in the course of the session on Wednesday, and as a result it looks like the buyers may be making a stand. The €9400 level below was massively supportive previously, so we think that there will be buyers on their as well. Look for short-term bounces in order to buy calls but be willing to take profits rather quickly.
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