Most of Tuesday’s session was spent above the 3387 Resistance (dashed line). Unfortunately, late in the day there was a sharp sell-off on news and ES closed below the 3370.50 poc, which is a weaker position. The session close was also below the low of Monday which negates any positive implications of the Aggressive Buying (green) marked on that day. We are still looking for confirmation that Buyers are back in control. The short-term (1mn) poc has migrated to 3354.50. Price relative to that level would be worth monitoring as a guide to ST strength/weakness. Pre-open ES has printed above 3380.
Stocks>50dyma Nyse 50% (from 53%), Nasdaq 51% (from 50%), R2000 48% (from 48%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 13.77, havind reached 14.7 on Monday, a 7month high. On 09/01 the ratio reached 14.37, the highest since early March. The ratio fell to 3.35 on 03/17, the lowest since early 2016. The ratio reached 28.62 on 12/27, the highest reading in my database.
