Technical analysis S&P 500 emini pre-open 25th August
from Monday’s pre-open…The best Support is the previous poc at 1870 (this was the major poc until recently).
Monday opened below that level and immediately rallied above it. The Value Area was also printed entirely above that level. Significant Buying marked above 1870 would be the first ST positive. With momentum and breadth looking so poor I would need to see more than that to consider the long side.
Resistance = 2095.00 (maj poc)
Support = 1870.00 (formerly the maj poc)
Momentum (PriceOsc) remains negative and down for all four Stock Index ETFS. Breadth numbers weakened considerably again, see below.
Stocks>50dyma numbers: Nyse 9% (from 19%), Nasdaq 11% (from 19%), R2000 11% (from 21%). These numbers have historically registered overslod. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 6.87, the lowest level since October
Supporting Charts:
Bonds TLT: Closed just below the 126.69 Resistance (1/2R off this year’s high). Futures today suggest that TLT will open lower.
Dollar Index: sold off sharply over last few days and is today printing below 94.67, the 12mn poc in a much weaker price location.
Gold GLD: Closed at a 32day high on Monday. Today, cash gold indicates GLD will open lower.
Oil USO: closed at a new low on Monday. Futures indicate a higher open for USO.
EURUSD: on Monday printed its highest level since January. A little lower today but above 1.1340 (12mn poc) which is now Support.
