posted 8.27 a.m. et
pre-open comment Monday 30th July
Friday closed above Mon to Wed Hi-Lo Range so this is Buyers Active on this timeframe. On Friday I marked Significant Buying as ES probed above the 7month VAH at 1377 (dotted). The 1366poc is now First Level Support.
The Chartprofit Market Timing System rather disappointingly stayed neutral for Nyse and negative for Nasdaq. UK stayed positive. The %Stocks>50dyma numbers are well above 50% for all three Market Charts which is constructive.
All four major U.S. Index ETFs finished the week above the 1/2R levels off their 2012 highs. This is much improved price location. Key chart levels are IWM 78.80 (1/2R) and QQQ 64.30 (1/2R) – it’s usually more positive for the general market when these charts lead Large Caps (currently they are not) but it’s important for these two charts to hold above their 1/2R.
First Level Support = 1366 (poc) SPY = 137.30
Second Level Support = 1348 (5mn poc)
Sentiment: My version of the Rydex Assets Ratio ended the week at 3.83. Recent high for the ratio was 4.40 on 07/10.
Supporting Charts (+ or – or ? for equities).
(Momentum = daily PriceOsc)
? EURUSD: A new two year low was printed early last week but a strong Close to the week was encouraging. Momentum has turned up but it is too early to call this a turn. Price printing above the minor poc at 1.2496 would be a postive.
? Dollar Index: A new two year high was printed early last week but Friday’s Close was the lowest in 17days. Momentum has turned down.
? TLT: new high on Wednesday but Friday’s Close was the lowest in 17days and Momentum turned down.
difficult to imply a bias for equities but there’s indications of change in these charts. Have to see if that develops.
