Pre-open Monday 29th June
See previous highlighted comments. Last week ES found Resistance at pocs, 2116.00 on Wednesday and 2107.00 on Thursday – this was weak price action. Aggressive Selling was marked on both days. The Support at 2095.00 was tested with ES closing the week at this level which is now, once again, the 10mn poc. The 4mn VAH is at 2117.00 (dashed line) which was probed last week. The 4mn VAL is at 2075.00 and overnight ES has printed significantly below that level on negative news out of Europe over the weekend. Pre-open ES has recovered a little and will likely open close to the VAL. Price acceptance below 2075.00 would be another negative.
Second Level Resistance = 2107.00
First Level Resistance = 2095.00
Market Charts: All major Market Charts are negative
Stocks>50dyma numbers: Nyse 43%), Nasdaq 56%, R2000 57%, UK 45%. Numbers >50 are supportive.
Sentiment:My version of the Rydex Assets Ratio ended the week at 10.88. One week ago the ratio fell to 8.78 which was a seven month low.
Supporting Charts:
Bonds TLT: closed on Friday below 117.14, the maj poc and at a nine month low. Price below this level is weak location. T-Bond Futures indicate that TLT will open higher today.
Dollar Index: printing back above 94.67, the 12mn poc, in a stronger price location.
Gold GLD: in May a probe into the Resistance at 117.60, the 1/2R off the November low, was rejected. Price above this level would be first sign of LT strength. GLD remains in a weak location.
Oil USO: the 16mn poc recently migrated to 20.24. USO closed below that level on Friday.
EURUSD: is today printing below 1.1340, the 12mn poc
