S&P 500 emini pre-open Friday 20th March

Following Wednesday’s strong up-day, Thursday was a consolidating inside day which generated a narrow Value Area. Significant Sellers were not marked. Bulls would want to see ES holding above the 7month poc at 2066.50. and this is now First Level Support. Momentum (PriceOsc) is up for IWM (smallcaps), SPY and DIA. Breadth has improved, see below.

First Level Resistance = 2107.00 (50day poc)
First Level Support = 2066.50 (7mn poc)

Stocks>50dyma numbers: Nyse 58% (from 62%), Nasdaq 63% (from 62%), R2000 65% (from 64%). Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio was slightly higher at 11.90. Early this month the ratio reached 14.06, it’s highest ever reading.

Supporting Charts:
Bonds TLT: Has now retraced slightly more than 50% of the recent decline and on Wednesday closed at a 28 day high.
Dollar Index: Last week printed its highest level since 2003. First Level Support is the 12mn poc at 94.67.
Gold GLD: On Tuesday printed its lowest level this year, has rallied a little from there.
Oil USO: on Monday broke below January’s low and on Wednesday reached a new low.
EURUSD: fell since May last year to major 1/2R Support at 1.1241. Chart held above that level through February but this month has broken that Support.