emini 11th June 2018 – pre-open from Chartprofit
Friday’s session generated a sixth Value Area entirely above 2718, the 12mn poc. ES needs to hold above this level to maintain a strong price location. On 25th May the 12mn poc migrated to 2718. This lifted the Value Area High (VAH) and removed the Resistance at 2745, see previous highlighted comments. It is likely that a new distribution (up) began in early May. If that is the case the current VAH at 2805 will not prove to be significant Resistance should ES probe that level.
Support = 2718.00 (12mn poc)
Market Charts: All major Market Charts are positive.
Stocks>50dyma numbers: Nyse 69%, Nasdaq 73%, R2000 76%. numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 16.47, a 20-day low, as SPX reaches a 3month high. This is a contrarian indicator. On 04/18, the ratio fell to 13.93, a 43 day low.
Bonds: TLT – very volatile currently. Rallied strongly from mid May back above 121.00, the major poc, but sold off from there back below that level. Last week TLT tested, and so far held, 118.50, the 6mn poc Support.
Dollar Index: As explained in Friday’s video, on a thirty minute basis the 6year poc is at 94.80. At the end of May this Resistance was probed and rejected. Price above this level would be a stronger price location.
Gold: GLD – on 05/11 there was a rejected probe into 125.23, the 4mn poc, and chart fell sharply from there. Note that Cash Gold found Support in May at 1286.50, its major poc. Cash below that level would be a weaker price location.
Oil: USO – 05/22 chart printed its highest level since November 2015 but fell sharply from there. Support at 12.79, the 12mn poc.
GBPUSD: in mid April the major Value Area High at 1.4212 was probed for the second time this year and was rejected again. The Support at 1.3965 (6mn poc) was then broken. At the end of May the chart printed its lowest level since November but held the major poc Support at 1.3170. Has rallied a little from there.
EURUSD: is currently attempting to print time back above 1.1755, the 1year poc.
USDJPY: The 6mn poc for this chart migrated to 107 in April and the chart has been printing up from that level. 05/21 there was a rejected probe into 111.30, the 2year poc Resistance.
