emini 5th May 2019 – pre-open from ChartProfit
Monday opened in a weak position but quickly recovered back above 2910, the 2month poc, see Monday’s highlighted pre-open comments. Despite Thursday’s sell-off and Monday’s weak open, Value Areas have been printed above that poc. Pre-open today that level (now Support) has been tested and bulls would wat to see it hold.
Stocks>50dyma numbers: Nyse 62% (from 64%), Nasdaq 61% (from 62%), R2000 65% (unch). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio is at 23.92, having reached 23.93 on Thursday, a seven month high. On 9th Jan the ratio fell to 5.54, the lowest since July 2016.
Bonds – TLT: 03/28 TLT printed its highest level since December ’17. Has retraced from there but as long as TLT holds above the 121 major Support it is in a strong position.
Dollar Index: 04/25 the index reached its highest level since May 2017, breaking above the highs of December and March around 97.7. However that breakout has not held and DXY has printed back below the level of those highs. In the LT as long as the chart is printing above the major at 94.80 it is in a strong position but we should be open to the possibility of a reversal here.
Gold: GLD – closed just below 121, the major poc, on Monday. Chart is in a weak position if it prints below that level. Note also that the major poc for cash gold is at 1286.50. This has been broken and Gold has not recovered back above that level.
Oil: USO – tested 11.41, the Major Poc Support on 03/08. Formed a higher low at that Support and rallied strongly. On 04/23 closed at its highest level since October but has retraced from there. First Level Support is at 12.79, the 18mn.
GBPUSD: is in a weak position below 1.3130, the maj poc. Recently found Support at 1.2915, the 1/2R off this year’s low and has bounced. Price below that level (1.2915) would indicate further weakness.
EURUSD: in April printed its lowest level since June 2017 having broken below March’s low (1.1174). Price below 1.1310 keeps the chart in a weak LT position.
USDJPY: the major poc is at 112.60. Chart is in a weak position below that Resistance.
