I’ve been writing that a Value Area printed entirely below the 4672.50 Control would be a concern for the Bulls. That happened on Monday.
Also that the first mechanical indication of weakness in the longer-term would be a RTH close below 4645.75 (dashed on chart), the 12th Nov Buying Day low. That happened on Tuesday. New longs are eliminated for me until Significant Buying (green) is marked again or ES prints a Vaue Area back above the 4672.50 Control.
Dayframe: As noted yesterday a v minor control emerged at 4610.50. First sign of strength would be ES printing above and holding that level today.
Sentiment: My version of the Rydex Assets Ratio was lower at 48.05. Down from 58.15 reached early last week, the highest ratio ever. The Bull fund assets that I track reached the highest level ever and Bear fund assets, the lowest. Massive retail enthusiasm at that point and therefore potentially weak holders which could be a problem if further weakness develops.
