emini 1st April 2020 – pre-open from ChartProfit
Like Monday, Tuesday generated a Value Area above the 3mn poc, see Monday’s highlighted comments. Overnight ES has printed lower, below that poc (which has migrated slightly to 2556.50) and is in a weaker position in the ST. In the longer-term price has been consolidating below 2719, the major poc, which remains an indication of weakness on that timeframe as well. At a minimum, Bulls would want to see a recovery back above 2556.50 today.
Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 5.43. The index fell to 3.35 on 03/17, 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 4% (from 5%), Nasdaq 95 (from 8%), R2000 7% (unch). Numbers >50 are supportive.
