emini analysis 10th January 2017 – pre-open from Chartprofit
Monday’s session generated an “inside” Value Area but like Friday’s it was entirely above the 2259 poc. Overnight ES printed as low as 2259.50 but has rallied back to mid 2260s as of two hours pre-open. Bulls would want to see this level hold and even better to see Significant Buying marked above this poc. Another positive would be Momentum (PriceOsc) on the SPY chart turning higher – this indicator has now dipped into negative territory, see Pulse Chart.
First Level Support= 2259.00 (3 month poc)
Second Level Support = 2159.50 (6month poc)
Sentiment: My version of the Rydex Assets Ratio was lower at 6.26, an eighteen day low. The Ratio has fallen a lot since it reached 11.83 on 01/03, the highest ratio since June 2015. Bull fund assets have been falling for nine days while Bear fund assets remained pretty much unchanged – but Bear fund assets increased sharply on Friday and Monday.
Stocks>50dyma numbers: Nyse 72% (from 80%), Nasdaq 69% (from 71%), R2000 71% (from 77%). Numbers >50 are supportive.
Supporting Charts
Bonds: TLT – On 12/14 TLT printed its lowest level since July 2015 but has so far held the major poc Support at 117.15 and on Thursday printed a twenty five day high.
Dollar Index: On 01/03 the index printed its highest level since April 2003. Off that high last week.
Gold: 11/23 GLD broke below 115.69, the 1/2R off last year’s low which put the chart in a weak price location. On 12/15 chart printed its lowest level since last January but has rallied from that low.
Oil: USO – since the start of December USO has been printing above 10.78, the maj poc, in a strong price location. On 01/03 chart printed its highest level since late June.
EURUSD: in early October chart broke below 1.1165, the 4yr poc, and has been in a weak price location since then. On 01/03 printed its lowest level since early 2003.
click graphic to enlarge
