emini analysis 22nd February 2017 – pre-open from Chartprofit
Intraday numbers indicate that Buyers were active and Effective (Monday’s Value Area was higher). By any technical measure the market is extremely overbought but Buyers are still in control of the dayframe. I am watching for the first sign that this may be changing and that would be a session of intraday Selling that proves Effective (lower Value Area). See previous, highlighted, comments.
Dayframe: The very minor (11day) poc is now at 2341.00 and price printing time below that level would be the first indication of ST weak price location.
First Level Support = 2265.00 (4 month poc)
Key Charts: IWM has been printing above 136.70, the 2mn poc, for seven days. It’s important that the chart holds this level.
Sentiment: My version of the Rydex Assets Ratio was lower at 8.82. On 2nd Feb the ratio reached 12.15, the highest since May 2015.
Market charts: Nyse, Nasdaq and UK remained positive. R2000 remained neutral.
Stocks>50dyma numbers: Nyse 68% (from 63%), Nasdaq 63% (unch), R2000 60% (from 56%). Numbers >50 are supportive.
Supporting Charts
Bonds: TLT – the major poc is now at 119.00. TLT must hold this level to maintain a strong price location. Futures indicate a higher open today for TLT.
Dollar Index: currently printing back above 101.00, the 6month poc and is currently probing 101.52, the 1/2R off the Jan high. Key Chart.
Gold: 115.69 is the 1/2R off last year’s low. GLD has been printing above that level for thirteen days in a stronger price location. There is Resistance at 119.84, the major poc.
Oil: USO – the major poc is at 11.44 and is important to monitor. USO closed above that level on Tuesday.
GBPUSD: the 15mn poc is at 1.2478. Chart currently prints below that level.
EURUSD: currently printing back below 1.0597, the 7mn poc in a weaker price location.
USDJPY: The 1/2R off the 2015 high comes in at 112.47. Chart is currently printing just above that level.
click to enlarge graphic
