S&P 500 emini pre-open Thursday 11th September

posted 09.20 a.m. est

Dayframe: The VAL of the current price distribution (weekly timeframe) is now at 1983.50(dashed). Buyers will often enter on a test of a significant VAL but currently, with the local poc at 1998.50 I won’t consider new longs below that level. Following a test of Tuesday’s low early in Wednesday’s session ES rallied back but has faded and pre-open prints mid 1980’s.

ES First Level Resistanve = 1998.50 (50dy)
ES First Level Support = 1949.00 (4mn)
ES Major Support = 1872

I have said that Key Chart IWM needs to hold above 115.41, 1/2R off July high, to maintain a strong price location. Pre-open today chart prints just below that level.

Stocks>50dyma numbers: Nyse 51% (from 50%), Nasdaq 52% (from 49%), R2000 49% (from 46%). Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio was almost unchanged at 9.58. Monday’s ratio was 10.1 and I only have one ratio higher than that which is 10.47 on 07/29.

Supporting Charts:
Bonds TLT: Chart was sharply lower last week having reached its highest level in fifteen months the previous week. Chart printed a nineteen day low on Wednesday and remains below 117.15 (maj poc) in a weakened price location.
Dollar Index: The four year high is 84.75 (July last year) and chart has printed close to this level this week.
Gold GLD: recently found resistance at 124.15, the 30mn poc and then fell sharply. Chart currently prints close to the June low. GLD has been consolidating for a year in a contracting type of pattern and we had been expecting a directional move to occur.
Oil USO: Has sold-off since mid June and pre-open today prints below 34.17, the 1/2R off 2009 low.
EURUSD: Last Thursday broke the Support at 1.3066 (3yr poc) and subsequently printed its lowest level since July last year. New low for this move occured on Tuesday.