emini futures 22nd October 2018 – pre-open from Chartprofit
The important level to monitor at the start of this week is 2774.00. This is the current controlling price. Pre-open ES is printing above it. Bulls would want to see any test down into that Support rejected. Price below 2774 is weaker location and would increase the chances of the major Support at 2718 being re-tested.
Price above 2829.50, the 1/2R off the September high (dashed line) would be a positive. I remain cautious until then. The equivalent level for SPY is 282.15. I wrote on Wednesday >>The Pulse Chart is still negative so let’s not assume too much.<< That remains the case.
minor Support/Resistance = 2774.00 (4mn poc) – major Support = 2718.00
ETFs: SPY and IWM also held their major Support in the recent decline; SPY = 271.7, IWM = 153.5.
Market Charts: All major Market Charts remained negative.
Stocks>50dyma numbers: Nyse 21%, Nasdaq 17%, R2000 14%. Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio ended the week at 15.42. The peak reading is 27.55 recorded 09/07 which equalled the highest ratio in the database.
Bonds: TLT – declined sharply through since breaking below 121.00, the major poc, at the start of September. Reached its lowest level since Sep 2014, earlier in the month.
Dollar Index: The major poc is at 94.80. The chart had been oscillating around that level for three months. Is currently printing above the poc (just) 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 but has rallied recently. It is possible the poc could migrate lower with time – I am monitoring that.
Oil: USO – As long as chart holds above 12.79, the 12mn Support, it is in a LT strong price location – I have been saying this for months now. If USO should retrace we need to watch for that poc migrating higher. 10/03 the 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 and it was probed, but not exceeded, again last weeks. Has printed a twelve day low today.
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.
