emini analysis 7th December 2017 – pre-open from Chartprofit
Tuesday’s session generated a lower Value Area and Significant Selling (red) was marked for the first time since August. This is a minor indication of ST weakness. First sign of LT weakness would be a Value Area printed below 2573.50, the 3mn poc.
Dayframe: a minor (10 day) poc has emerged at 2624.00. Price relative to this level could be monitored for short-term strength/weakness.
First Level LT Support = 2573.50 (3mn poc)
Stocks>50dyma numbers: Nyse 57% (from 61%), Nasdaq 49% (from 52%), R2000 52% (from 55%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 17.06. The highest ratio in the database is 18.34 recorded on 10/31.
Bonds: TLT – the 10mn poc Support is at 124.40. Last week this Support was closely approached but has held so far. On Wednesday chart printed its highest level since early September.
Dollar Index: in early July chart broke below 95.50, the major poc Support. 11/22 the index broke back below 93.46, the 8mn poc, but today the chart is printing back above that level.
Gold: Tuesday and Wednesday GLD closed just above the Major Support at 119.84. However cash Gold indicates a lower open for GLD, most likely below that Support.
Oil: USO – Last week the major poc migrated higher to 11.41. The migration of a maj poc often preceeds a directional move. On Wednesday USO broke below 11.41.
GBPUSD: currently printing above 1.3234 (1/2R) in a strong price location. The 9mn poc is at 1.2925 and this is LT Support.
EURUSD: chart is printing above 1.1755, the 1year poc in a strong price location. Price breaking below that Support would be a negative.
USDJPY: Key Chart – last week the chart tested the Support at 111.30, the 2year poc. Has so far held this level.
click to enlarge graphic
