emini 5th July 2019 – from ChartProfit
Following the Aggressive Buying (green-at-top) last Friday (see Monday’s pre-open comments) ES generated a higher, wider Value Area on Monday and an “inside” Value Area on Tuesday. Wednesday’s session printed a higher VA. First Level Support is at 2927.00, the 1month poc. As long as price holds this level it is in a strong location.
Stocks>50dyma numbers: Nyse 69% (from 62%), Nasdaq 61% (from 56%), R2000 60% (from 54%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 19.95. Over the last four days SPY has rallied 2.5% and the ratio has fallen by 2.5%. Not usually a bearish pattern in the ST. The 9month high for the ratio is at 23.93, recorded early May. The ratio fell to 11.58 on 06/06, a three month low, having reached 23.93 on the 7th May, a seven month high.
Bonds – TLT: has been probing 132.80, the maj VAH, over last two weeks and has not seen rejection, so far. Acceptance (time) at this level would be a positive indication.
Dollar Index: w/e 06/14 the three year poc migrated to 97.00. Chart broke below that level on 20th June but is today printing back above that level in a stronger position.
Gold: Last week GLD printed above 135 to its highest level since 2013.
Oil: USO – 06/20 the chart recovered back above 11.41, the major poc, Bulls would want to see this level hold now.
GBPUSD: The 1/2R off this year’s low at 1.2910, was broken in mid-May and chart fell sharply from there. Is today close to the June low which is lowest level since early January.
EURUSD: on Monday chart broke back below 1.1310, the Major poc which put EURUSD back in a weaker position. Sharply lower today.
USDJPY: the major poc is at 112.65. Chart is currently in a weak position below that level.
