emini ES 26th March 2020 from ChartProfit
Wednesday’s session generated a second higher Value Area (not overlapping previous), these are the first since 2nd March. It was the tenth consecutive VA below 2719, the major poc. Consolidating below a major poc is a weak sign. The first longer-term positive would be ES printing time back above that level.
Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 4.21. As on Tuesday, the market bounced but the ratio was unchanged which would usually be (in normal markets??) a ST positive sign. Last the ratio it fell to 3.35, the lowest since early 2016. The index reached 28.62 on 12/27, the highest reading in my database. Only twice before had the ratio printed above 26. Once in Jan 2018 and the market sold-off quickly, and once in Aug 2018 after which the market traded sideways for a month and then sold-off.
Stocks>50dyma numbers: Nyse 3% (from 2%), Nasdaq 3% (from 4%), R2000 3% (unch). Numbers >50 are supportive.
