The Dow Jones-UBS Commodity Index is again retracing to test support at 133/134, but is clearly in a primary up-trend (with breakout above 134 following earlier recovery of 13-week Twiggs Momentum above zero). Target for the advance is 144*. Reversal below 133 is unlikely, but would warn of a bull trap.
* Target calculation: 134 + ( 134 – 124 ) = 144
Crude oil, the most highly-traded commodity, is also retracing, with Nymex Light Crude headed for a test of primary support at $98/barrel*. Breach of support would signal a primary down-trend. Respect of support would indicate another test of $105. Brent crude, while declining slightly, would need to penetrate support at $104/barrel to signal a down-trend.
* Target calculation: 105 + ( 105 – 98 ) = 112