emini futures 18th January 2018 – pre-open from Chartprofit
See yesterday’s highlighted comments. Wednesday generated an “inside” Value Area with a strong close to the session. Buyers remain Active and Effective. First sign of dayframe weakness would be Significant Selling (red) being marked and first sign of longer term weakness would be Significant Selling (red) marked below 2688.
First Level Support = 2688.00 (2mn poc)
Second Level Support = 2580 (4mn poc)
Stocks>50dyma numbers: Nyse 73% (from 69%), Nasdaq 72% (from 70%), R2000 67% (from 63%). Numbers >50 are supportive.
Sentiment: My (new) version of the Rydex Assets Ratio was slightly lower at 20.65. The ratio has fallen sharply since 12/28 when it reachd 22.2, the highest in the database.
Bonds: TLT – TLT fell last week to print its lowest level since late October. Has rallied back a little from there but price above 126.66 (15mn poc) would be a stronger location.
Dollar Index: in early July chart broke below 95.50, the major poc = weak LT price location. 12/28 broke below the 1/2R Support off the Sep low and has now broken the September low and printed a three year low.
Gold – GLD: The major poc recently migrated back up to 121.00 and currently chart prints above this level in a strong price location.
Oil: USO – Last week USO reached its highest level since December 2015.
GBPUSD: has reached its highest level since June 2016.
EURUSD: in December chart tested the 1 year poc Support at 1.1755 and held. Is up strongly from there to print a three year high.
USDJPY: two failed probes into the 113.70 maj poc Resistance in December and is now printing below 111.30, the 2yr poc, in a weak price location.
