posted 08.38 a.m. est
Pre-open comment Thursday 30th January
See previous comments. No Significant Buying marked for ten days. ES consolidating lower prices with the very minor (6day) poc at 1786. Possibly a useful level to monitor for intraday traders. Pre-open ES prints below this level in a very weak price location.
Stock index ETFs: All four ETFs have Momentum (PriceOsc) down and negative. Key charts are SPY which is printing below 179.39, its 4mn poc and IWM which is printing above 110.87, its 4mn poc. If IWM breaks below 110.87 it would signal further weakness.
First Level Resistance = 1835.50 (4mn poc)
First Level Support = 1758.00 (prev poc and Dec low)
Stocks>50dyma numbers: Nyse 36% (from 43%), Nasdaq 47% (from 54%), R2000 38% (from 47%). Numbers >50 are considered supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly higher at 6.78. The market has sold off but there is no measurable increase in fear registering here from the Rydex traders which is a concern. On 16th Jan the ratio reached 7.5 which is the highest ratio in my database, registering extreme optimism and a warning for the market.
Supporting Charts
Bonds TLT: printed a 60dy high on Tuesday. Technical Oscillators register overbought but Momentum is positive and up.
Gold GLD: Tested the June low late December and has rallied from there but remains in a weak price location.
Oil USO: Printing back above the 3yr poc (34.13) in a stronger price location.
Dollar Index: currently holding above the important 80.15 level with the maj poc at 79.76. Strong price location if it holds. Further positive would be Momentum turning up.
EURUSD: Recently broke out to a two year high but this was rejected and price reversed. Has rallied a little of the Support at 1.3524 (9mn poc) and this is the important level to watch.
