posted 09.08 a.m. est
pre-open comment Thursday 24th October
On Wednesday Buyers Responded (green-at-bottom) to the slightest opportunity which was a probe below the minor poc at 1737.50, see chart. Price printing time below this level would indicate their control is lessening and be the first sign of ST weakness. Significant Selling has not been marked for eleven days. In the LT as long as ES holds above 1685.50 it is in a strong price location.
First Level LT Support = 1685.50 poc
Second Level LT Support = 1653.50 poc
Stocks>50dyma numbers: Nyse 83%, Nasdaq 72%, R2000 77%. Numbers >50 are considered supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 4.30, up from 3.68. The recent high for the ratio was 4.54 on 1st October, a ratio above that would be the highest since early June. At the market May high the ratio reached as high as 5.43.
Supporting Charts
Bonds TLT: Reached a three month high on Wednesday and currently printing above 106.34, the 10month poc, in a stronger price location. Momentum is positive and up.
Gold GLD: Remains below 134.17, the 12mn poc, in a weak price location.
Oil USO: Had been consolidating below 37.31, the low of the Support/Resistance band in a weak price location. Has now broken lower to its lowest level since early July. Momentum is negative and down.
Dollar Index: On Wednesday printed its lowest level since early February. Momentum is negative and down.
EURUSD: Has today printed its highest level since November 2011.
