posted 09.20 a.m. est
pre-open comment Wednesday 29th May
Tuesday’s session produced a higher, wider Value Area. 1653 was the minor poc and this provided Support during yesterday’s session but time spent there has lifted the 25day poc to this level. 1653 is now important to monitor and price below that level is weak price location in the ST. Overnight ES has broken that Support and as of one hour pre-open has printed as low as 1641.75. Bulls would want to see Significant Buying marked and price back above 1653.
%Stocks>50dyma numbers: Nyse 72%, Nasdaq 73%, R2000 77%. Numbers >50 are considered supportive. Numbers >80 are considered overbought.
First Level Resistance = ES 1653 (25dy poc)
First Level Support = ES 1626 (prev poc)
Sentiment: my version of the Rydex Assets Ratio was slightly higher at 5.14. Last week the ratio reached 5.43 and I only have two readings higher than this in the database which were were at the market highs in April and September last year.
Supporting Charts
+ or – or ? indicates bias for equities
+ Bonds TLT: KEY CHART. printing below the major poc at 117.15. Time printed below this level is weak price location. On Tuesday reached its lowest level since April 2012.
– Oil USO: Currently printing below the Resistance around 34.20 which is weak price location. Momentum, although positive is down.
– Gold GLD: Fell steeply last month to its lowest level for two years and that level was approached again last week.
– Silver SLV: Last week printed its lowest level since October 2010.
– Dollar Index: Last week printed its highest level since July 2010.
? EURUSD: currently holding the major poc Support at 1.2777.
TLT is the Key Chart. i.e. price location relative to the major Support at 117.15.
?