emini 22nd May 2018 – pre-open from Chartprofit
I have marked Aggressive Buying (green-at-top) five times in the last twelve days and the market is higher indicating this is Effective Buying in the dayframe. The last nine Value Areas have been generated above 2672, the 12mn poc, and as long as ES holds above that level it is in a strong price location. Monday’s Value Area was generated above 2724, the minor poc, – another indication of strength, see yesterday’s highlighted comments. On 05/03 the 7mn Value Area Low at 2595 was tested and I note that the 7mn Value Area High is now at 2745. This could stall the current rally, but price acceptance at that level would be a positive.
Minor Support = 2724 (minor poc)
First Level LT Support = 2672 (12mn poc)
Second Level LT Support = 2647 (4mn poc)
Market Charts: All major Market Charts are positive.
Stocks>50dyma numbers: Nyse 65% (from 60%), Nasdaq 67% (from 65%), R2000 71% (from 66%). numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was slightly lower at 21.19. On 04/18, the ratio fell to 13.93, a 43 day low.
Bonds: TLT – is printing below 121.00, the major poc, in a weak LT price location. On Thursday fell to its lowest level since July 2015.
Dollar Index: On Monday reached its highest level since December.
Gold – GLD closed below 125.23, the 4mn poc, at the start of last week and fell sharply. Has not recovered from that level.
Oil: USO – On Monday printed its highest level since November 2015. First sign of weakness would be time printed below 12.79, the 12mn poc.
GBPUSD: in mid April the major Value Area High at 1.4212 was probed for the second time this year and was rejected again. The Support at 1.3965 (6mn poc) was then broken and at the end of last month the Support trendline off the 2016 low was broken. On Monday printed its lowest level since January.
EURUSD: as explained in the video on 04/20, the major poc migrated to 1.2330. Since that point EURUSD has been printing below that level in a weaker price location. On Monday printed its lowest level since December and tested the Support at 1.1755, the 1year poc.
USDJPY: The 6mn poc for this chart migrated to 107 five weeks ago and the chart has been printing up from that level. On Monday printed its highest level since January and probed 111.30, the 2year poc.
