Technical Analysis S&P 500 emini pre-open Thursday 20th August
Wednesday’s session generated another Value Area below 2095.00 which is weak price location. There was a probe higher towards that level (see chart) but this quickly reversed. Most time was spent in the mid 2070s and this is not an area of price I want to see developing, see previous comments, highlighted on chart. The Value Area Low of the major price distribution which began in October is currently at 2045. Bulls would hope that any test of that level would be rejected. Pre-open ES has printed as low as 2053.50.
Second Level Resistance = 2095.00 (maj poc)
First Level Resistance = 2080.25 (1/2R)
Momentum (PriceOsc) is negative for all four Stock Index ETFS but has turned up. Breadth numbers still need to improve, see below.
Stocks>50dyma numbers: Nyse 36% (from 41%), Nasdaq 33% (from 36%), R2000 33% (from 37%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly lower at 9.04. The eight month low is at 8.67 (07/14). On Monday Bear Fund Assets rose sharply to an eight month high.
