posted 09.26 a.m. est
Pre-open comment Tuesday 29th April
On Monday ES briefly tested First Level Support at 1849.50 but quickly recovered to the 3mn poc at 1864. SPY perfomed in exactly the same way, testing its own 1/2R and then recovering to its 7mn poc at 187.73, see below. Pre-open ES has probed into the 2mn VAH at 1872 – very little time would need to spent here to lift the 3mn poc to this level. Breadth is still not supportive, see below.
First Level S/R = 1864.00 (3mn poc)
First Level Support = 1849.50 (minor 1/2R)
Second Level Support = ES 1835.50 (maj poc)
Pre-open, Stock Index ETFs are mixed once again relative to their important levels. SPY prints almost at 187.73 (7mn poc); DIA prints above 163.40 (2yr poc), IWM prints below 112.27 (12mn poc); QQQ prints above 85.30 (8mn poc).
Stocks>50dyma numbers: Nyse 47% (from 48%), Nasdaq 24% (from 25%), R2000 29% (from 30%). Numbers >50 are considered supportive.
Sentiment: My version of the Rydex Assets Ratio was higher at 7.14. On 04/17 the ratio fell as low as 4.83, a 72day low.
Supporting Charts (+ or – shown as implied bias for equities)
– KEY Chart Financial Sector XLF: pre-open today prints below its maj 1/2R level (22.04).
+KEY Chart EURJPY: chart is printing above 140.96, the 1/2R off Dec high.
– KEY Chart Bonds TLT: recently tested and held, the 2year poc Support at 107.24 and on Friday printed its highest level since June last year.
Dollar Index: printing just above 79.76, the maj poc.
Gold GLD: still printing below 127.20, its 18mn poc.
Oil USO: last week printed its highest level since September last year.
EURUSD: Printing above 1.3673, the 12mn poc Support.
