emini analysis 18th December 2017 – pre-open from Chartprofit
I classified as Thursday’s Selling (red) as Reactive Selling only. See Friday’s highlighted comments. The red-at-bottom day was completely retraced on Friday. This is rare and indicates that the Buyers are still in control. First sign of weakness would be a Value Area printed below 2624.00, the minor poc.
First Level ST Support = 2624.00 (minor poc)
First Level LT Support = 2573.50 (3mn poc)
Market Charts: Nyse stayed positive; Nasdaq & R2000 stayed neutral.
Stocks>50dyma numbers: Nyse 61%, Nasdaq 55%, R2000 56%. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 16.75 having reached 18.34 on 10/31, the highest ratio in the database.
Bonds: TLT – the 10mn poc Support is at 124.40. Two weeks ago this Support was closely approached but has held so far.
Dollar Index: in early July chart broke below 95.50, the major poc Support. Chart is currently printing close to 93.46, the 8mn poc Support.
Gold: printing below 120.90, the maj poc in a weak price location.
Oil: USO – recently the major poc migrated higher to 11.41. The migration of a maj poc often preceeds a directional move. USO closed just above that level on Friday.
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: has tested the 1 year poc Support at 1.1755 and held so far.
USDJPY: Key Chart – late November the chart tested the Support at 111.30, the 2year poc, and held. Rallied from there to probe (but not exceed) the 113.70 maj poc Resistance. Chart is currently down from that level.
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