S&P 500 emini pre-open Wednesday 1st October

posted 07.20 a.m. est

See previous comments highlighted on graphic. There is Support at ES 1949. I would want to see price location and breadth data improve before considering the long side. Momentum (PriceOsc) is down for all four major stock index ETFs.

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

Dayframe: the minor (16day) poc at 1964 could come into play today as intraday Support or Resistance which may provide a clue in the ST.

Key Charts/Levels: Pre-open today IWM is printing below 111.64 (2yr poc) in a weak price location and on Tuesday closed at its lowest since 20th May. Also, DIA prints below 170.38 (now 18mn poc). See also Key Charts TLT and USO, below.

Stocks>50dyma numbers: Nyse 22% (from 26%), Nasdaq 28% (from 33%), R2000 20% (from 26%). Numbers >50 are supportive.

Sentiment: My version of the Rydex Assets Ratio was slightly lower at 8.62 indicating the Rydex traders are not very fearful at the moment. The highest ratio in the database is 10.47 On 07/29.

Supporting Charts:
Bonds TLT KEY Chart: Interesting position. Was sharply higher on Monday and briefly probed the Resistance at 117.15 (maj poc). Has set back from there and yesterday found low just above 116.08, the 1/2R off Aug high.
Dollar Index: Printed a new four year high on Tuesday.
Gold GLD: Recently found resistance at 124.15, the 30mn poc and fell sharply. On Tuesday printed its lowest level since early January.
Oil USO KEY Chart: Has sold-off since mid June, down to the Support at 34.17 (1/2R off 2009 low) where it finds itself again after yesterday’s decline. Possibilty of a turn here but price printing time below this level would be very weak location and suggest lower.
EURUSD: Earlier in the month chart broke below 1.3066 (3yr poc) and on Tuesday printed a two year low.