Commodities Turning? Gold, Copper, Nat Gas, Oil and Stock Commodity Ratio

The commodity wave charts we tack suggest what we may already know, commodities seem poised for a bounce…here is a look at a few…

Gold Futures Daily: Rally from a wedge pattern…targets to 1,333; then 1,420…swing resistance at 1,300; then 1,380…

Copper Futures Daily: Confluence support held near 1.930…with divergence into the low (RSI divergence lower pane of the chart); first target to 2.532…

Natural Gas Futures Daily: Still well below its long-term trend line resistance, but coming into a key extension target at 1.587, i.e. wave A = wave C…again seeing divergence into the low…

Oil Futures: Not sure how to label the longer term view yet; but interesting things going on here technically. 1) For the first time since 7/22/14 do we have a break of the downtrend resistance line (dotted red); and the 72-day moving average breaking above said line: 2) Wave A almost exactly equal to the last Wave down labeled C, which targeted a low of 26.17 (actual low was 26.05); 3) equivalence in time on wave A & C, being 77 days and 85 days, respectively; and 4) divergence into the low as seen in the RSI (lower pane of the chart)…heading into first major resistance at Wave A low 38.18…and swing high at 37.79…a rest here then rally toward 50$

Stock vs. Commodities Ratio: We have been tracking this ratio (comparing relative performance of stocks versus the Thomson/Reuters Commodities Index) for a while now; it gave us a hint in the past the commodities cycle was over. Now the ratio seems to be hitting some resistance at a key retracement level–76.8%. It would be some confirmation of the charts above…stay tuned…

With commodities starting to look very interesting again, Black Swan is considering a new service based purely on our Elliott Wave and other pattern analysis. We would utilize the most active ETF’s for for our pattern analysis, covering: S&P, Emerging Markets, Long Bonds, Gold, Oil, and the US Dollar Index. We will not be giving specific buy/sell suggestions as we do in our forex and currency options services, but would be delivering our technical analysis and comments twice a week to allow you to utilize ETF’s and/or options on ETF’s based on our directional updates.

If something such as that, at a very nominal price, is made available please let us know if you might have an interest.