Pre-open Tuesday 14th July
Following last week’s rejected tests of the 2045.00 Support (see yesterday’s highlighted comments) ES rallied on Monday to find Resistance at 2095.00, the 10mn poc. Aggressive Buying (green-at-top) was marked which can be considered Reactive in the longer timeframe because it was below 2095 but if ES can print some time above this level it will be in a stronger price location. Overnight 2095.00 has again been Resistance.
LT Resistance = 2095.00.
First Level Support 2080.25 (1/2R off May high)
LT Support at 2045.00 (prev poc)
Stocks>50dyma numbers: Nyse 40% (from 35%), Nasdaq 48% (from 43%), R2000 51% (from 47%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 8.74 close to the eight month low recorded last Thursday at 8.69.
Supporting Charts:
Bonds TLT: on Monday TLT closed below 117.14, the maj poc which is weak price location.
Dollar Index: 96.76 is the 1/2R off March high and this is the obvious Resistance which was probed last week and again today.
Gold GLD: in May a probe into the Resistance at 117.60, the 1/2R off the November low, was rejected. GLD remains in a weak location and last week printed close to this years low.
Oil USO: the 16mn poc recently migrated to 20.24. USO closed below that level for seven consecutive days and last week fell heavily. The 1/2R off the March low is at 18.55 and this is now Resistance.
EURUSD: is today printing below 1.1340, the 12mn poc.
