emini 28th February 2019 – pre-open from Chartprofit
During Wednesday’s session ES briefly tested 2777.00, the minor (18day) Support, see previous, highlighted comments. Price relative to this minor poc is worth monitoring in the ST, i.e. above/below = minor strength/weakness.
Stocks>50dyma numbers: Nyse 86% (unch), Nasdaq 83% (from 84%), R2000 84% (from 85%). Numbers >50 are supportive.
Sentiment: My version of the Rydex Assets Ratio was almost unchangd at 17.15. On Friday the ratio reached 17.89, a 4 month high. On 9th Jan the ratio fell to 5.54, the lowest since July 2016. Down from 27.5 in early September.
Bonds – TLT: after holding above the 121.0 major poc Support for most of the month, TLT closed below this level on Wednesday which puts it in a weaker position.
Dollar Index: as long as DXY prints above 94.80, the major poc, it is in a strong LT price location. In the ST, chart broke below 96.38 earlier in the week (the minor 1/2R off December high) and is in a weaker position.
Gold: GLD – rallied strongly following a higher low in December which found Support at 121.00, the major poc. Strong LT location but GLD reached the major Value Area High (VAH) last week at 127.15. This could cap the upside until the maj poc (currently at 121) migrates higher.
Oil: USO – has been printing above 11.41, the Major Poc. Is possibly putting in a higher low above that level which would be a strong pattern. This is an important chart. If USO is printing above 11.41 it is a positive for risk-on.
GBPUSD: in December the chart bounced from a second test of 1.2481 (30mn poc) and has rallied. Last week the major poc (measured on a 30minute basis) migrated lower to 1.2930. Since then the chart has been printing above that level in a stronger LT position and on Wednesday printed its highest level since July last year.
EURUSD: Currently printing back above the 1.131 Support, a previous major poc, in a stronger position.
USDJPY: the major poc is at 112.60. Chart is currently printing below that level in a weak LT position.
