emini analysis 23rd May 2017 – pre-open from Chartprofit
On Monday I marked Aggressive Buying, see Friday’s highlighted comments. Daily breadth on the Pulse Chart is still negative and momentum (PriceOsc) although positive, is still heading lower. Bulls would want to see both improve. Sentiment is interesting, see below.
First Level Support = 2353 (4mn poc)
Second Level Support = 2265 (10mn poc)
Sentiment: My version of the Rydex Assets Ratio was lower at 9.62 (from 11.29). Largely due to a sharp reduction in Bear fund assets. This is a contrarian indicator so this is most likely a positive. On 1st March the ratio reached 14.02, the second highest ratio in the database.
Stocks>50dyma numbers: Nyse 49% (from 47%), Nasdaq 48% (from 44%), R2000 43% (from 39%). Numbers >50 are supportive.
Bonds: TLT – now printing back above 121.63, the 8mn poc, in a strong price location.
Dollar Index: rallied back from the March low to probe 101.00, the major poc, in early April. That probe into Resistance was rejected. Chart remains in a weak price location and on Monday printed its lowest level since November.
Gold: recently GLD broke below119.84, the maj poc, and sold off but recovered to probe that poc (Resistance) last week. Time above that level would put GLD back in a strong price location.
Oil: USO – The 4mn poc is at 10.28. Chart found Resistance there every day last week until Friday when it closed strongly above it. Stronger price location. Resistance is at the major poc at 11.44. Key chart.
GBPUSD: In the LT, as long as chart holds above above 1.2478, the maj poc, it is in a strong price location. Last week printed its highest level since October.
EURUSD: last month the chart tested the Support at 1.0597, the 7mn poc, and held. Has rallied from there. Has today printed its highest level since November.
USDJPY: last week tested the Resistance at 113.61, the 4mn poc, but that test looks to have been rejected.
click graphic to enlarge
