S&P 500 emini pre-open Monday 15th September

posted 08.10 a.m. est

Last week I marked Significant Buying once (Ineffective) and Significant Selling twice. All Values Areas were printed below the 1998.50 poc. If the 50dy poc remains at 1998.50 I will not consider new long positions until I mark Effective Buying above that level.

Once again, a Key Chart to monitor at the start of this week is IWM. Chart needs to hold above 115.41, 1/2R off July high, to maintain a strong price location. Chart closed very close to that level on Friday.

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

Breadth: CP Market Timing System – Nyse and UK turned negative, Nasdaq turned neutral, R2000 remained negative.
Stocks>50dyma numbers: Nyse 44%, Nasdaq 51%, R2000 47%, UK 57%. Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio ended the week at 8.72. The highest ratio being 10.47 On 07/29.

Supporting Charts:
Bonds TLT: Chart is sharply lower from the recent high and in a weak price location below 117.15 (maj poc). Printed a twenty eight day low on Friday.
Dollar Index: The four year high is 84.75 (July last year) and chart is printing close to this level.
Gold GLD: Recently found resistance at 124.15, the 30mn poc and fell sharply. Last week printed its lowest level since January.
Oil USO: Has sold-off since mid June. The Support at 34.17 (1/2R off 2009 low) has been tested and pre-open today chart prints below this level.
EURUSD: Earlier in the month broke the potential Support at 1.3066 (3yr poc) and has subsequently printed its lowest level since July last year.