Technical analysis – Market pre-open Thursday 5th November
See previous highlighted comments. A Value Area printed below 2095 (12mn poc) would be the first sign of weakness but currently (two hours pre-open) ES is printing above 2100. Significant Selling (red) has not been marked for fifteen days.
Key Charts: IWM closed above 118.0, the 1/2R off this year’s high. Chart is in a strong price location if it holds this level.
UK FTSE100 closed below its key level which is 6445.50.
First Level Support = 2095.00 (12mn poc)
Second Level Support = 2063.00 (5mn poc)
Stocks>50dyma numbers: Nyse 72% (from 76%), Nasdaq 66% (unch), R2000 68% (from 70%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 7.27 which is a 52 day high.
Supporting Charts:
Bonds TLT: closed below 121.40 (12mn poc). Momentum (PriceOsc) is down and negative.
Dollar Index: Has been consolidating for nine days in a strong price location above 96.50 (1/2R off this year’s high).
Gold GLD: is printing below 108.70, the 1/2R Support off the July low, in a weak price location. Momentum (PriceOsc) is negative and down.
Oil USO: The 1/2R Support off the August low is at 14.28 and USO has been printing above that level this week.
EURUSD: printing below 1.11 (1/2R off this year’s low) in a weak price location.
