Stock market today 18th October 2016 – pre-open from Chartprofit
ES analysis: Early in Friday’s session there was a rejected probe of 2142.25, our First Level Resistance. ES printed a lower on Monday but overnight has rallied above Monday’s session high to print as high as 2139.75.
I have yet to mark Significant Selling, see previous comments, but ES remains in a weak price location below 2142.25. Momentum (PriceOsc) for all four stock index ETFS is now negative and heading lower.
Second Level Resistance = 2154.00 (6 wk poc)
First Level Resistance = 2142.25 (1/2R off Aug high)
Major poc Support = 2087.00
Key Charts/Levels: IWM 122.65 = 5mn poc. Chart is printing below that level in a weak price location. QQQ 116.97 = 4mn poc Support. Chart closed below that level on Monday.
Stocks>50dyma numbers: Nyse 32% (from 33%), Nasdaq 37% (from 38%), R2000 35% (unch). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly lower at 7.33. The ratio reached 7.90 on 08/26, a seven month high.
Supporting Charts:
Bonds: TLT – At the end of September there was a rejected probe of the 4mn poc Resistance at 139.00. Chart is sharply lower from there and printed its lowest level since June 2nd on Friday.
Dollar Index: on Monday printed its highest level since March 10th.
Gold: last month GLD tested 127.85, the 1/2R Resistance off the July high. This was rejected and chart has declined sharply from there. Currently printing just above the major poc Support at 118.22 (maj poc).
Oil: USO – USO has been printing above 10.78, the 18mn poc, for two weeks and last week printed its highest level since 1st July.
EURUSD: last week the chart broke below the 1.1165 (4yr poc) and below 1.1083 (maj 1/2R). Currently in a weak price location.
