posted 9.20 a.m. est
pre-open comment Tuesday 15th January
Monday generated an overlapping, lower Value Area. Significant Sellers have not been marked for ten days. Pre-open ES has printed as low as 1456.50.
Dayframe: The VAL of the minor range since ES gapped higher at the start of the month comes in at 1451, just below the 1453 poc. If ES should test that level it would be reasonable to expect a Response from the Buyers if they are still in control.
First Level Support = 1453 (4mn poc)
Second Level Support = 1406 (maj poc)
%Stocks>50dyma numbers: Nyse 86% and Nasdaq 77%. Numbers >50 are supportive. Numbers>80 usually considerd overbought.
Sentiment: My version of the Rydex Assets Ratio was higher at 4.63 which is a 69day high. Historically this is a high number. Only in 2012 did we see the ratio above 5, that was at the April and September price highs.
Supporting Charts (+ or – or ? for equities). Momentum = daily PriceOsc
Unlike Equity Index/ETF charts, the following KEY Charts are printing very close to useful reference levels. Monitoring price relative to these levels should give us a good idea about the markets current appetite for risk; mixed at the moment but will hopefully give better indication soon.
– Bonds TLT: Seems to have found Support just above the major poc (117.15). Pre-open is printing a ten day high and momentum is up.
? Commodities: Oil USO Rallied to important 1/2R and poc Resistance around 34.17 nine days ago but has not yet managed to overcome this level. Price printing above this level would indicate further strength and “risk on”. Gold GLD is now printing above the 161 major poc and pre-open is printing at an eight day high.
+ Dollar Index: in a weak price location below the 2yrpoc at 79.80.
? EURUSD: printing above 1.3117, the 24mn poc but has reached the next Resistance at 1.3416 (1/2R off 2010 low) and has not yet printed above that level. It woukld be a positive for this chart and equities if it did so.
