emini futures 8th October 2018 – pre-open from Chartprofit
ES spent the first three days last week above 2927, the 1mn poc, see last Monday’s highlighted comments. Wednesday’s session opened below that level and there was a quick decline. Thursday and Friday generated Value Areas below that level.
Support/Resistance levels have also migrated due to price action at the end of the week. The 2mn poc is now at 2906 and that is First Level Resistance. The 3mn is at 2858.50 and that is Support. Price printing time below that level would be a further indication of weakness.
First Level Resistance = 2906.0
First Level Support = 2858.5
Market Charts: All major Market Charts are negative.
Stocks>50dyma numbers: Nyse 37%, Nasdaq 29%, R2000 41%. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 17.86. The peak reading is 27.55 recorded 09/07 which equalled the highest ratio in the database.
Bonds: TLT – has declined sharply over the last four weeks following its break below 121.00, the major poc and on Friday fell to its lowest level since Sep 2014.
Dollar Index: The major poc is at 94.80. The chart had been oscillating around that level for three months but is now printing above the poc in a stronger price location.
Gold: GLD – The major poc is at 121.00 and this Support was broken 06/19. Chart remains in a LT weak position.
Oil: USO – As long as chart holds above 12.79, the 12mn Support, it is in a LT strong price location – have been saying this for months now. If USO should retrace we need to watch for that poc migrating higher. Last week chart reached its highest level since October 2015.
GBPUSD: The major poc is at 1.3200. On 09/20 that Resistance was probed and rejected. Chart is still printing below that level.
EURUSD: On 08/15 the chart printed its lowest level since July 2017. There was a rally back from there to probe 1.1755, the 1year poc Resistance. This was rejected.
USDJPY: the major poc is at 111.30. Chart is printing above that level and last week reached its highest level since November. Lower today.
