emini futures 31st January 2018 – pre-open
Wednesday’s session generated a higher, wider Value Area. During the a.m. session the First Level Resistance at 2665 (6mn poc) came into play, see chart, but following Fed comments later in the day, ES spiked above that level. Aggressive Buying (green-at-top) was marked. 2665 is now First Level Support. Resistance is at 2718 (maj).
Stocks>50dyma numbers: Nyse 77% (from 71%), Nasdaq 69% (from 63%), R2000 69% (from 63%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly higher at 13.34. On 9th Jan the ratio fell to 5.54, the lowest since July 2016. Down from 27.5 in early September.
Bonds – TLT: last week probed above the 121.00 poc but closed “at” that level on Tuesday and again on Wednesday.
Dollar Index: as long as DXY prints above 94.80, the major poc, it is in a strong LT price location.
Gold: GLD – early last week GLD found low at 121.00, the major poc Support and then closed sharply higher on Friday. Strong location. Closed higher on Wednesday at its highest level since May.
Oil: USO – on 12/07 chart found Resistance at 11.41, the Major Poc and fell sharply lower from there. Has rallied back and on Wednesday pprobed above that level. This is an important chart. Price above 11.41 would be a positive for risk-on.
GBPUSD: earlier in the month the chart bounced again from a second test of 1.2481 (30mn poc). On Friday printed its highest level since 7th Nov. retraced a little from there.
EURUSD: is now printing above 1.1450, the 1/2R. Stronger position.
USDJPY: the major poc is at 112.60. Chart is currently printing below that level in a weak position.
